Re: cost of carry
I am not 100% sure but this is what I think it is.
The cost incurred to extend your buy/sell into the next series i.e. say you are long Nov Nifty Futures @ 5010. On expiry Nov series is trading at 5135 and Dec is at 5143 then you have to sell Nov and buy December if you need to 'carry' your trade over to next month ..
So your cost of carry is 5143-5135=8pts.
Smart players carry earlier .. i.e. they sell current month (if they are long and invese if they are short) just before a minor dip and re-enter next month series just as the dip is about to reverse .. that way they carry w/o cost, rather even make some money on that.
Hope this helps