Hi,
pls help me to clear my doubt.
Dear Fello boarders,
I am planning to deal in Options after loosing heavily in Intrady . Pls help me
1.Is sqaring of position allowed.
Consider a Contract
Company XYZ
Spot 100
Strike 105
Contact Day Jan-1
Expiry Jan-26
Option price 5.
Lot 1000
Total Premiun [ (lot * Option price) i.e 1000 * 5 = 5000 Rs]
On Jan 1 I have bought a Call by paying premium Rs.5000. On Jan 26 if the Price is 125[greater than a strike price Rs.105] Now I would like to exercise option Here
a.Take Delivery and close position
If I need to take delivery I need to bring in cash for Rs [1000 * 105 = 1,05,00] then take delivery and sell at 125 and book profit.
b.Square Off
Here I won't take delivery . I will buy and sell on the same day netting my position.Is this facility Avialable with any brokerage houses [icicidirect,shrekahn,5paisa....etc....]
2.Put :To buy a put option do I need to Hold the security/script in Advance? or Just having the premium is enough
3.Which brokerage hosue is good for DErivatives trade ?
Thanking in Advance
pls help me to clear my doubt.
Dear Fello boarders,
I am planning to deal in Options after loosing heavily in Intrady . Pls help me
1.Is sqaring of position allowed.
Consider a Contract
Company XYZ
Spot 100
Strike 105
Contact Day Jan-1
Expiry Jan-26
Option price 5.
Lot 1000
Total Premiun [ (lot * Option price) i.e 1000 * 5 = 5000 Rs]
On Jan 1 I have bought a Call by paying premium Rs.5000. On Jan 26 if the Price is 125[greater than a strike price Rs.105] Now I would like to exercise option Here
a.Take Delivery and close position
If I need to take delivery I need to bring in cash for Rs [1000 * 105 = 1,05,00] then take delivery and sell at 125 and book profit.
b.Square Off
Here I won't take delivery . I will buy and sell on the same day netting my position.Is this facility Avialable with any brokerage houses [icicidirect,shrekahn,5paisa....etc....]
2.Put :To buy a put option do I need to Hold the security/script in Advance? or Just having the premium is enough
3.Which brokerage hosue is good for DErivatives trade ?
Thanking in Advance