By earn 
Understanding the Derivative Pick
Investing in derivatives can be a complex decision, but when approached carefully, it can lead to significant gains. In this post, we will focus on a strategic pick: buying the Sun TV (SUNTV) December 780 Call option at a price of 17.4, with a stop loss set at 12.20 and a target price of 29.20. This recommendation is suited for a time frame of 1-3 days, making it an excellent short-term investment strategy.
Why Choose the Sun TV 780 Call Option?
The selection of the Sun TV 780 Call is driven by recent market trends and the anticipated performance of the stock. With SUNTV showing a bullish trajectory, options traders may find this call appealing. Buying a call option allows investors to leverage their position, ensuring they can take full advantage of the stock’s upward movement while limiting their risk. By setting a stop loss at 12.20, we safeguard our investment against unforeseen declines, while our target of 29.20 paves the way for lucrative returns.
Time Frame and Market Considerations
Timing is crucial in the options market. The chosen time frame of 1-3 days suggests that immediate market movements may impact the viability of this pick significantly. Investors should keep an eye on any news or market events surrounding Sun TV that could influence its stock price during this period. As always, conducting thorough research and maintaining an agile strategy remains essential for succeeding in derivative trading.
