need help in option(fno)!

#31
narayan78 said:
I understood this, please correct me if i am wrong.

so we can sell a call option at the time of expiry by excersing and it will be traded at the closing price of the(exipiry) day.!

and we can square off an option at cmp at any day before expiry,(current market price)!
You are welcome :)

I you are talking about European Option, you are absolutly correct. Just a little addition: you can even square off your position at the expiry day at cmp.
On expiry day either you can square off (at cmp)or excercise (closing price).
 
#34
gopii said:
Hello all seniors

i am trying to move from futures into options on the nse, however i observe not many scripts are liquid and volumes are too less.
as the number of scripts avaliable are also quite less, and since the seniors are already trading in options, i sincerely seek the following info:

1) pl could u suggest me a list of scripts on which options traded in reasonable volumes

2) also to concentrated on premiums of which calls : ATM / OTM / ITM ???
and puts : ATM/OTM/ITM (from yr experiences)

thks
gopii




Hi gopii,

As ellisprem said because u r new in options try trading on index options only, and to choose from them go for options of 3400,3450,3500,3550 etc...... and not like 3420,3570 etc.......... I think u got my point. The prior one's r much more liquid then others.

thanks
 

narayan78

Well-Known Member
#36
hi all seniors and juniors! thanks for u r help:)

now i want to ask about a practical question. pls share u r opinion

i have been trading options for 3 months my profit,loss ratio is 20:80.


i.e 20 % gain and 80 % loss.

i want to know how many of u gaining with minimum loss (it's not possible to trade without loss in a long run :) )

pls give u r fair answers and strategy u used to follow.(U R OWN PRACTICAL STRATEGY)

U R ANSWERS R VALUABLE IT CAN EVEN CHANGE ATTITUDE OF A NOVICE INVESTOR.

advance thanks :)
 
#37
narayan78 said:
hi all seniors and juniors! thanks for u r help:)

now i want to ask about a practical question. pls share u r opinion

i have been trading options for 3 months my profit,loss ratio is 20:80.


i.e 20 % gain and 80 % loss.

i want to know how many of u gaining with minimum loss (it's not possible to trade without loss in a long run :) )

pls give u r fair answers and strategy u used to follow.(U R OWN PRACTICAL STRATEGY)

U R ANSWERS R VALUABLE IT CAN EVEN CHANGE ATTITUDE OF A NOVICE INVESTOR.

advance thanks :)
Hi Narayan78,
First of all I assume that you only buy option.
If you really want to make money Sell option. Looking at the records 75% of the option expire wothless. I am trading option for about 2 year but then I dont buy option (unless it's for the square off position). Initally I started with buying option but it was not much profitability as movement of underliying should be fast enough so that you don't loos on time value.
Ofcourse selling option has limited profit and unlimited potintial loss. So never sell a option alone use some strategies along with it.

regards
Amit
 
#38
Dear Amit,
Hi yes agree with u always sell options (which i do often on nasdaq) however now trying to move into options in India, need to ask and rqt yr answer:
as most of the options have very low volumes, so could u guide me which scripts u normally watch and do u consider the OI befor u sell.

request yr reply
thks
b rgds
gopii
 
#39
gopii said:
Dear Amit,
Hi yes agree with u always sell options (which i do often on nasdaq) however now trying to move into options in India, need to ask and rqt yr answer:
as most of the options have very low volumes, so could u guide me which scripts u normally watch and do u consider the OI befor u sell.

request yr reply
thks
b rgds
gopii
Hi Gopii,
Nifty Index Option has a very good volume and good open inetrest. At any given point of time Nifty option and future has very good volume. To trade nifty only go for contract in addtion of 50 point like 3500, 3550, 3600 so on...
I look for high Implied volatility, volume,OI and good premium in option. For this Index Nifty Option is best choise.
In India all Index option are european.
regards
Amit
 
#40
amit_shriv said:
Hi Gopii,
Nifty Index Option has a very good volume and good open inetrest. At any given point of time Nifty option and future has very good volume. To trade nifty only go for contract in addtion of 50 point like 3500, 3550, 3600 so on...
I look for high Implied volatility, volume,OI and good premium in option. For this Index Nifty Option is best choise.
In India all Index option are european.
regards
Amit

Hi Amit

If you have time then please throw some light on OI And Premium.
I usually use active call option from nse website.

Thanks
 

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