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Need Suggestion on Rcom

Discuss Need Suggestion on Rcom at the Derivatives within the Traderji.com - Discussion forum for Stocks Commodities & Forex; Hi have 420 CA ....i paid premium 43 what should i do ....hold? experts please ...


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Derivatives Discuss Futures & Options in securities whose value is derived from an underlying instrument.


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  #1  
Old 8th August 2008, 12:08 PM
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Default Need Suggestion on Rcom

Hi have 420 CA ....i paid premium 43

what should i do ....hold?

experts please jump and guide me
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Old 11th August 2008, 09:07 AM
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Default Re: Need Suggestion on Rcom

help me experts ..

what should i do here
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Old 11th August 2008, 12:09 PM
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Default Re: Need Suggestion on Rcom

Hope you have determined your exit price (both in case loss i.e. stoploss level, or in case of profit). If yes then follow that plan. And if no then decide it now about how much % you are willing to loose (100%, 50%, 30% or any other % of your premium).

Though RCOM is trading in green today, it has not crossed its high of 6/Aug (454) by 12.00 pm. Despite of increase in price, the premium today is 38 Rs. That is because the time decay in option premium has compenasated for the increase in stock price. With each passing day, your call will loose its time value at faster rate and if stock does not move much then your call is going to loose money everyday.

So make your OWN decision, Man. You have to take responsibility of your money.

Happy Trading.
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