put and call options

Dear all,

i want to know put and call option trading.. as now i am trading only intra day secondary market so i want to extend my knowledge in put and call option.. plz provide as soon as possible..

Thanking you,
vinay

First tell me, are you comfortable trading the cash market? Think of derivatives(F&O) only when you are comfortable understanding the movements of the cash market underlying.

You can google for the basic definitions and terminology related to options. Basically, if you are bullish, you buy call options; And buy put options when you are bearish. If the cash underlying moves upwards, the value of the call option increases, and decreases when it moves downwards. Similarly, put value increases when cash underlying moves downwards, and ...

Buying options is called as "Option holding". Short-selling options is called "Option writing". Option writing has unlimited risk just like a futures contract.

Having told all this, first take time to find if you really want to trade options for intrday - because option value changes fast and quickly. So while there is a chance of instant profit, there is equal chance for instant loss. Options are not usual trading tools, but ones for special situations and special purpose (aka Hedging, you may have heard this term)