Hi All,
I am newbie to Options trading. Let me quote an example.
Date and time: 14th Jan 2015 Time: 9 55 AM
At this time, the NIFTY Jan 29 2015 8400 CALL is trading at 71.8.
The NIFTY value is 8312.
Following are my queries:
1. Suppose I buy 1 lot that is 25, I have to pay 25 X 71.8 = 1795. Is this correct?, my max loss will be 1795.
2. My brokerage is 0.05%. Can I square of today itself at 72? So that I can make profit even though Nifty does not cross 8312.
3. Technically to make profit, it should cross 8400 + 72, right?
Thank You!
I am newbie to Options trading. Let me quote an example.
Date and time: 14th Jan 2015 Time: 9 55 AM
At this time, the NIFTY Jan 29 2015 8400 CALL is trading at 71.8.
The NIFTY value is 8312.
Following are my queries:
1. Suppose I buy 1 lot that is 25, I have to pay 25 X 71.8 = 1795. Is this correct?, my max loss will be 1795.
2. My brokerage is 0.05%. Can I square of today itself at 72? So that I can make profit even though Nifty does not cross 8312.
3. Technically to make profit, it should cross 8400 + 72, right?
Thank You!