some query regarding options

#11
Yes boss,now it clear.thanks lot,one more doubt Is it daily settlement like futures ?Forexample i purchased Cll at 170 and price reaches 160 on closing , is less amount debited from trading account
 
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AW10

Well-Known Member
#12
For Long position (where u have bought a option), no margin is charged.. and hence there is no mark to market adjustment done in the evening (it happens in futures).
For Short position (where u sold the option), margin required will change depending on the movement of underlying stock/nifty. If position goes more in loss, that means more risk to broker to cover the risk, so they will increase the margin requirement.

Atleast thats what I have found so far. Again, this is specific to broker.. so please check with them and get first hand reply.. While playing in leveraged instrument, it is important that you understand the risk (unless you don't care about it or you can afford to take the risk).

Happy Trading.
 
#13
I m bit new in stock market. I want to know whether I can get any link where I can get information regarding opening price/closing price/high/low for nifty futures and put and calls? for any given month or week? Kindly anyone guide me.

Thanks.
 

praveen taneja

Well-Known Member
#14
I m bit new in stock market. I want to know whether I can get any link where I can get information regarding opening price/closing price/high/low for nifty futures and put and calls? for any given month or week? Kindly anyone guide me.

Thanks.
nseindia.com:)
 

abhinkoi

Active Member
#15
1.If i purchased Nifty 2900 call at current price 170 ,shall i sell it if current price reaches 190,and can i take profit (190-170)*50(one lot).or
ANS=Yes if you sell at 190 you make 20 points and a gain of 20x50=1000
if i square off current nifty value*50 get as profit/loss?
2.Is i need to wait till nifty reaches 3000?
No you need not to wait till Nifty reaches 3000. You can square off anytime on or before expiry.
3.can i square off before expiry?
yes you can.

Since you are a new trader in Options I would advice you to understand the Options pricing. What all factors impact the options pricing. Mainly it is dependent on 3 things -
1) Difference between Strike price and spot value
2) Time remaining to expiry
3) Implied Volatility (IV)
In above 3 things 1 and 2 are very much clear but it takes ages for traders to understand the implied volality...sometimes spot value moves 50-60 rs but option value doesnt move even 10 rs and thats where this IV plays a vital role so please learn this.

Let me know if I can be of any help.

Add me in ur yahoo -
[email protected]

Cheers
Abhi
 

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