Justdial (₹1102.2): After a relentless rally since listing, the outlook for Justdial turned negative. The stock is now critically poised. A close below its immediate support at ₹1,070 will trigger a steep slide. The next support appears at ₹977 and ₹863. Only a close above ₹1,270 will revive the bullish sentiment in the stock. Justdial finds immediate resistance at ₹1,170 and the next one at ₹1,208, which is tough to breach.

F&O pointers: The counter witnessed unwinding of open interest positions along with the fall in share price. This indicates that traders squared off their long positions to cut losses. Options are not that active. However, with whatever little cues that are available, there is indication of a negative bias.

Strategy: Traders can consider bear call spread on Justdial. This can be considered by selling ₹1,100 call and simultaneously buying the ₹1,250 call of Justdial. They closed with a premium of ₹91.85 and ₹21.05 respectively. The maximum traders can gain from this strategy is the premium received upon entering the trade, which works out to ₹8,850, as the market lot of Justdial is 125. To earn maximum profit, Justdial price needs to close below ₹1,100 at expiration date, as both options would expire worthless. Max loss occurs when the share price of Justdial closes at or above ₹1,250. In such an event, traders could lose about ₹10,000. Despite the potential loss, we still recommend this strategy. If Justdial manages to settle at ₹1,170, the position will yield neither gain nor loss for traders.

DLF: Last week, we had advised traders to consider long strangle on DLF. Traders can consider holding it for at least three weeks.

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