Intraday Trading

a1b1trader

Well-Known Member
03/07/2013 Wednesday
With NF currently trading at 5770 and 5600 Put trading at 46 what will be the actual price of 5600 puts when NF actually trades at 5600?
Bye
If you talk of today, read today only
It will be approx. 145-150

But do keep in mind that this value will decrease every day as per time decay and other factors as mentioned by Timepass.

Ed: Ooo, I got it.
You are expecting 5600 and want to buy options, 5600PE
Good
If it is so,then please do pm me.
Thanks
 
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kthakker0

Well-Known Member
03/07/2013 Wednesday

Hi,

Stating my query once again.

Taking current expiry as the base starting from today.
NF trading at 5770
5600 Put trading at 47

Suppose NF trades at 5610 2 days before expiry
Then at what price will 5600 Put trade at??

My query got two response, both are poles apart.

Timepass: 30
a1b1trader: 145

Please, which is the correct answer???

Bye
 
Options have two main components -
intrinsic value and
Time value

in your case above - premium = 0 intrinsic value + some time value (2 days)

should be in the range of 15-20 and declining every minute ....untill nifty goes below 5600 ..because that 15-20 premium is all 'Time value' and 0 'Intrinsic value' ..but as it goes below 5600 the intrinsic value increases thereby increasing the overall premium.

But if it goes below 5600 and then closes @ or above 5600, your put would end worthless ..ie "0"
 

a1b1trader

Well-Known Member
Sorry to say,
In your post you have not mentioned that you want the value of option as on 23.7.13.

Timepass mentioned the value as on 23.7.13 (2 days before expiry)

Moreover, IMO, you have not read my answer clearly.
I have clearly mentioned, it will the (approx) value of PE if it happens today, 3.7.13.

That is if NF turns 5600 today, then 5600PE will be approx 145-50

So there is no scope for confusion.


Ed: Perhaps I miss the word 'actual' in you query
"With NF currently trading at 5770 and 5600 Put trading at 46 what will be the actual price of 5600 puts when NF actually trades at 5600?"
Sorry for that.
 
Last edited:

TraderRavi

low risk profile
03/07/2013 Wednesday

Hi,

Stating my query once again.

Taking current expiry as the base starting from today.
NF trading at 5770
5600 Put trading at 47

Suppose NF trades at 5610 2 days before expiry
Then at what price will 5600 Put trade at??

My query got two response, both are poles apart.

Timepass: 30
a1b1trader: 145

Please, which is the correct answer???

Bye
@ 25 - 30.....

Bye
 

kthakker0

Well-Known Member
04/07/2013 Thursday

Hi,

Thanks, guys for contributing your part of knowledge in respect of Options.

Although we will continue it later on, but for now....

Salla 5820 jo kal ho na tha woh aaj ho gaya.

so as for today, NF and 5780
Trading below will see much lower levels.
Trading above will see 5840 levels.

Bye
 

kthakker0

Well-Known Member
04/07/2013 Thursday

Time to go short at 5845 for 5780

5820
Salla yea 5820 is the bone of contention. Trading < it will see more correction.

But it seems that market might be kept at higher levels till tomorrow morning if we don't see NF trading < 5820 till closing.

Bye
 
Last edited:

kthakker0

Well-Known Member
04/07/2013 Thursday

Time to go short at 5845 for 5780

5820
Salla yea 5820 is the bone of contention. Trading < it will see more correction.

But it seems that market might be kept at higher levels till tomorrow morning if we don't see NF trading < 5820 till closing.

Bye
04/07/2013 Thursday

Hi,

Trades squared. NF trading and if closes below 5780 stay short to enjoy the much needed stress free roller coaster ride.

Bye
 

kthakker0

Well-Known Member
04/07/2013 Thursday

Time to go short at 5845 for 5780

5820
Salla yea 5820 is the bone of contention. Trading < it will see more correction.

But it seems that market might be kept at higher levels till tomorrow morning if we don't see NF trading < 5820 till closing.

Bye
04/07/25013 Thursday

Tomorrow the market will consolidate and perhaps from Monday onward we should see a gap down opening.

"Food Security Bill" will put an additional debt of 1,25,000 crore which will put more pressure on Rupee there by increasing over all price of everything.

Bye
 

jassinko

Well-Known Member
04/07/25013 Thursday

Tomorrow the market will consolidate and perhaps from Monday onward we should see a gap down opening.

"Food Security Bill" will put an additional debt of 1,25,000 crore which will put more pressure on Rupee there by increasing over all price of everything.

Bye
Sir...today ur targets were bang on........... :clapping::clapping:
what will be the tomorrow's level......... is it a sell on rise rally....
and what will be the possible down target for next week....... can we see 5720 level....????