Furures & Options

#1
Hi
Can Anyone help me on FUTURES AND OPTIONS in simple way with an example.
Im new to trading and i dont understand explanations given on the web

someone please help me
I have attached some sample
can any please explain
how much money do i need to invest in futures & options

Thanks
Arun
 

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#2
It is advisible to have a min experience of atleast 2years in cash market before exposing youself to derivatives (fut/opt).
 

tulika

Active Member
#3
Hi
Can Anyone help me on FUTURES AND OPTIONS in simple way with an example.
Im new to trading and i dont understand explanations given on the web

someone please help me
I have attached some sample
can any please explain
how much money do i need to invest in futures & options

Thanks
Arun
hi.
i agree with soody..you shud atleast study the derivative markets first. Do some notional dealings before putting your hard earned money into future market. it is a merciless world indeed.. they gobble up all your money and then ask for more if you are a novice. i learnt all this the hard way by burning my fingers and losing a Lot of money.. but on the other hand this is the only way to learn.. so first prepare your self fr some unpleasent movements also. be well equiped with plenty of knowledge and then trade..all the best.
 
#4
hi.
i agree with soody..you shud atleast study the derivative markets first. Do some notional dealings before putting your hard earned money into future market. it is a merciless world indeed.. they gobble up all your money and then ask for more if you are a novice. i learnt all this the hard way by burning my fingers and losing a Lot of money.. but on the other hand this is the only way to learn.. so first prepare your self fr some unpleasent movements also. be well equiped with plenty of knowledge and then trade..all the best.
tulika
i really agree with u. i am also another investor who has burnt my fingers in trading F & O.. so let us caution other new ones with a word of caution..
koshy
 

wfy

New Member
#5
agreed indeed... does any one has an idea which all good brokerages are charging least amount of brokerage on transactions in options . Coz am fed up of ICICI direct as for each option purchase and sell i have to shell out 112.5 per option . now that itself amounts to me taking transactions only when i am absolutely certain that I will make at least 4.50 rs per option to cover the brokerage. really a tough one especially if u are wanting to play in the market near settlement dates.
 

wfy

New Member
#6
Dear All
I need some advise. I am holding a Rs 50 call on IFCI for may @ 2.60. now the share has gone in F&O trading ban. what should I do now. I use icicidirect. and i can see only either the exercise or squareup links are available there for this call option. what will happen if i square up. do i have to square up at the available market price or i can put in a limit order on square up too. As it is expected that IFCI price will be way above 50/- in may itself and expiry is also not so near ,i need to take best possible action advantage of this call option. Plz advise
regards
 

beginner_av

Well-Known Member
#7
i really dont know how to reply to these sort of questions. shall i lecture you, blast you or take u under my arms and say sweet things. buddy, ask yourself...why the hell did u buy the call?
now ask how much?
now ask "do i know what will happen a week hence to the price"? if u still dont know what to do....uh well....
 
#8
Dear,

ICC DIRECT is not ideal place for option trading. If you trade in options regularly open your a/c at RELIANCE MONEY. Their brokerage will difinately suit you.

basudeo