What do you do if you are moderately bullish on a stock? In the Reliance case you do not Reliance to go up to Rs.1050 but only up to 990. In that case you buy Reliance Futures at Rs.960 and the sell the Reliance 990 call option at Rs.10. This effectively reduces your cost of acquiring Reliance by Rs.10 and your new effective purchase price is Rs.950. On the upside you earn maximum profit on this strategy at Rs.990. After that whatever you gain on the futures is lost on the short call option. But it needs to be remembered that this strategy has open risk on the downside below Rs.950. That is a risk you need to be conscious of.