Derivative Strategy on Infosys from Motilal Oswal Securities

We have seen fresh Put writing at 1020, 1000 and 980 strike, says Chandan Taparia of MOSL

Option Strategy:

BUY INFY 1020 CALL @ 25

SELL INFY 1060 CALL @ 13

BEP : 1032

MAX RISK : 12 POINTS

MAX REWARD : 28 POINTS

Rationale:

1.     INFY has registered a highest daily close in last five months since April 31st March 2017

2.     It has given a consolidation breakout with rising trading and open interest activities

3.     Now a hold above 1020 could take it towards yearly high of 1044 then 1080-1100 zones.

4.     We have seen fresh Put writing at 1020, 1000 and 980 strike'

5.     Call unwinding in 1000 and higher strikes could propel its momentum