Investors should evaluate their positions in specific call options based on current market trends, as advised by market analysts.
Anish Das holds the following positions: a 350-call option on NTPC purchased for ₹5.45 with a target of ₹11.75; a 420-call on Coal India acquired for ₹0.65, targeting ₹5; and a 59000-call on Bank Nifty bought for ₹543, with a target of ₹900.
NTPC (currently priced at ₹345.15) has been trading in a broad sideways range between ₹325 and ₹350 since early May. Recent price action indicates a positive bias, suggesting a potential breakout above ₹350. Analysts predict that if NTPC rises to ₹365 within two weeks, the premium for the November 350-call could increase to ₹15-17. Thus, the target of ₹11.75 appears to be achievable.
In contrast, Coal India (currently at ₹387.70) is moving in a sideways pattern between ₹370 and ₹410, with notable support at ₹380 and resistance at ₹400. The outlook for this stock remains unclear, and analysts recommend liquidating the 420-call option due to the lack of a definitive trend until there is a clear breach of either support or resistance.
For the Bank Nifty (currently at 58,031), which has shown a consistent rally since the start of the month, the index is fluctuating within a range of 57,500 to 58,500. Despite this, the overall trend remains bullish, with expectations of a breakout above 58,500. Such a move could pave the way for a rally toward 59,000, potentially extending to 60,000. Consequently, analysts advise holding the 59000-call option, as its premium could reach ₹900 before expiry.
Investors are encouraged to consider these insights as they make their decisions. For further inquiries, please contact derivatives@thehindu.co.in.
This analysis was published on October 31, 2025.
