Increase in premiums of both CALL and PUTS in Infosys

#1
Hi,

This was something I noticed in today's trade. That the premium of both calls and puts increased for Infosys, when the share rose around 1%. How can this be possible? Is it because there was a high demand for the puts?
 

ganeshams

Well-Known Member
#2
Hi,

This was something I noticed in today's trade. That the premium of both calls and puts increased for Infosys, when the share rose around 1%. How can this be possible? Is it because there was a high demand for the puts?
Just check the Infy movement on result day for past 4-5 qurters its moving 15 to 20% so traders are planning their strategies on both sides Strangle/Stradle par away calls/puts with their analysis.
as Infy results will be announced tomorrow every one expecting a wild move of atleast 10% :mad::mad::mad:
tomorrow itself u can see lots of premium waive off
 

Einstein

Well-Known Member
#4
but what caused the dramatically increase in the iv??

bty how one can check the iv of stock before purchasing its option?
 

ananths

Well-Known Member
#10
INFY options IV is around 60 now..its almost 2 weeks to go and expect IV to increase further. The option prices may go very high due to high IV.
Is it good idea to sell deep OTM Calls and Puts together and take the benefit of drop in IV after the result?? :thumb:
 

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