An expert on twitter advised that Coforge is on the verge of a break out and can rise about 4%.
I like the stock and so I sold a Cash Secured Put for 600 shares (3 lots) at the strike price of Rs. 5000 for Rs. 102.12 each.
My trade will make money and I can pocket the entire premium if the stock stays above Rs. 5000 by 30th September, which is 13 trading sessions away.
I have kept aside Rs. 30 lakh, which is the capital required to take delivery of the 600 shares, should the eventuality arise.
(https://i.ibb.co/L01jvCh/coforge-cash-secured-put.png)
https://twitter.com/RajarshitaS/status/1437671652129529856
Coforge closed today at 5241 with the result that the 5000PE expired worthless. This resulted in a gain the entire premium of Rs. 61000.
(https://zerodha.trade/zerodha-uploads/Coforge.jpeg)