We gave our positive view on Bank Nifty for F&O February and March series, at the time when market has written it off.

If we have positive view on our economy, we can't afford to overlook the banking stocks. Also, if Bank Nifty has to perform, private sector banking stocks have to remain in forefront. With FII limit having hit in HDFC Bank, post its recent ADR issue, all the attention and focus will now shift to other private sector banking stocks viz., Axis Bank, ICICI Bank, Yes Bank and Indusind Bank.

With Axis and ICICI having corrected by over Rs. 50 – Rs. 75 in last 10 days, both the stocks have become quite attractive and seen under-valued and are now seen to be ready to take Bank Nifty forward in February and March F&O series. So ride on both private sector banks for bankable gains. One can write deep out of money PE to pocket the entire premium, instead of buying CE, or look to buy Futures. No point in paying premium by buying CE.