Put Options Looking Attractive As MCX Copper Slowing Down
Feb, 02nd 07:55
A general surge in commodities from Mid-January onwards spilled over into copper as well, as MCX Copper recorded a sharp rebound from just below the 295 level. A V shaped bounce extending upto the 310-312 region followed.
This bounce now seems to be petering off as the highs taper off and the volatility seems to be dropping.
An expected retracement could occur if the economic news and data from China continues to be as meek as it currently is.
A break of the 310 level should attract some selling.
Trade Idea – Buy MCX Digital Put Options on a break below 310.00, upto the 302 mark. Buy MCX Copper Digital Call Options if the market breaks through the 316 level.