But still this is not going to stop people loosing on this trap.
Because what this means is that, trader have an opportunity to choose between exercise vs not to exercise.
While trader already have an opportunity to square off his positions until now, he doesn't choose it so. Because he never knows that there is such a big STT trap on ITM options. The same going to happen hereafter also because he is not going to choose anything on that.
It is very sad that some one lost 24 lakhs for just 11500 rs.
Because what this means is that, trader have an opportunity to choose between exercise vs not to exercise.
While trader already have an opportunity to square off his positions until now, he doesn't choose it so. Because he never knows that there is such a big STT trap on ITM options. The same going to happen hereafter also because he is not going to choose anything on that.
It is very sad that some one lost 24 lakhs for just 11500 rs.
Your ITM but very close to expiry price option .... on the expiry day ........ if it is exercised then STT much more than gains ......... so you want to get out by selling it ................. BUT there is no liquidity ........ at that point of time there is absolutely no BUYER ....... what will you do ? ....... Now you have an OPTION.