Nifty 50 Trading Strategy: Analysts recommend Bull Call Spread options strategy for 25 November expiry

The Indian stock market benchmark indices recovered from day’s low and traded flat with a negative bias on Tuesday. Selling in IT, metals and pharma stocks weighed on sentiment amid weak global market cues. The BSE Sensex was marginally lower, while the Nifty 50 hovered around 26,000 level.

Among the Nifty 50 constituents, InterGlobe Aviation, Tech Mahindra, Hindalco Industries, Bajaj Finserv and Jio Financial Services were the top losers, while Bharti Airtel, Axis Bank, Asian Paints, PowerGrid Corporation of India and SBI Life Insurance Company led the gains.

On Monday, the Nifty 50 rallied 103.40 points, or 0.40%, to close at 26,013.45, amid strong buying momentum. On the daily chart, the index formed a bullish candle, indicating underlying strength.

Nifty Options Highlights

In the options market, the highest Nifty Open Interest (OI) on the Call side was concentrated at the 26,000 strike, followed by 26,200, which are expected to act as key resistance levels. On the Put side, the highest Open Interest was positioned at the 26,000 strike, with the 25,800 level likely to serve as the next significant support zone, Axis Securities said.

According to the brokerage firm, the premium for the At-the-Money option was ₹343, indicating a likely trading range for the week between 25,600 and 26,400.

Nifty Options Strategy for 25 November 2025 Expiry

Recommended Strategy: Bull Call Spread

Axis Securities has recommended a Bull Call Spread strategy for Nifty options contracts expiring on 25 November 2025, forecasting a moderately bullish view.

A bull call spread strategy involves buying a call option with a strike price slightly lower than current market price of the underlying asset, which is Nifty 50, and simultaneously selling another call option with a higher strike price (out-of-the-money), both with the same expiration date. This strategy is applied when the outlook is moderately bullish.

Strategy Details

Buy 1 lot of Nifty 26,000 Call at ₹190 - ₹210

Sell 1 lot of Nifty 26,250 Call at ₹85 - ₹95

Break Even Point: 26,114

The strategy involves buying one lot of the 26,000 strike Call Option and simultaneously selling one lot of the 26,250 strike Call Option.

Risk-Reward Analysis

According to Axis Securities, the maximum potential risk for this Nifty options trading strategy is ₹8,153, whereas the potential maximum reward is ₹10,237.

“Traders may consider deploying this spread strategy to achieve moderate returns while maintaining controlled risk and reward,” said Axis Securities.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.