Hello Friends. My name is Michael Gonsalves. I have enjoyed reasonable success with Options strategies. I made Rs. 2.5 Cr in FY 2019-20 and Rs. 1.65 Cr till date in FY 2020-21 (see proof). I am eager to learn more and also to impart my learnings to others. If you have any queries, please ask. I will answer soon.

Cash Secured Put in Havells for premium of Rs. 26250

Started by Michael Gonsalves, Aug 23, 2021, 05:04 PM

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Michael Gonsalves

According to an expert, Havells (CMP 1270) has formed a "flag pattern" and is likely to surge to Rs. 1350. So, I sold a Sep 1200PE for a premium of Rs. 26.25 each. Even if the stock does not surge and even it dips a bit, I can still keep the premium.



https://twitter.com/jbhanushali9/status/1429656358345789449



Michael Gonsalves

Unfortunately, the analysis was not correct. Havells has plunged 4% and is at my strike price of 1200. There is a MTM loss of Rs 16000. Let us see whether it recovers and closes above by the expiry.

Michael Gonsalves

Thankfully, Havells has recovered to 1356 with the result that I have gained on the Puts of 1100 and 1200.

As of date, there is a handsome gain of Rs. 28000.


Michael Gonsalves

I booked profit of Rs. 22250 in the 1200 PE. I had rolled over the 1100PE to 1300PE.