Hi to All

chataara

Active Member
#4
Re: Who will buy options at last moment of expiry time?

Dear friends

I Purchased 3 lots of Lichsgfin 170 jan put Options at 0.45. per share. Current rate of Lichsgfin is around 193.

I request u to clarify the following doubts.

1. Is there any chance of these options being not sold on expiry date?

2. Who will buy these options at the last moment of expiry date?

3. What is the purpose of buying these options at the last moment of expiry date?

4. Suppose I am not able to sell these options on the stipulated date, what will be the penalty for this?

5. Finally, Is it advisable to keep this option untill the last date?

Thanks in advance.
 

sumeetsj

Well-Known Member
#5
Re: Who will buy options at last moment of expiry time?

Dear friends

I Purchased 3 lots of Lichsgfin 170 jan put Options at 0.45. per share. Current rate of Lichsgfin is around 193.

I request u to clarify the following doubts.

1. Is there any chance of these options being not sold on expiry date?

2. Who will buy these options at the last moment of expiry date?

3. What is the purpose of buying these options at the last moment of expiry date?

4. Suppose I am not able to sell these options on the stipulated date, what will be the penalty for this?

5. Finally, Is it advisable to keep this option untill the last date?

Thanks in advance.


1. There a chances, but bleak. Only if LICHSGFIN comes down.

2. The person who has shorted might buy. That too if he is in profit.

3. So that his margins become free and he can use the same to make other positions.

4. If you are not able to sell they will expire worthless. No penalty.

5. Upto you.

Most important you have to ask yourself what is the lesson you have learnt from this type of trade.