how option trading is better than future or not
- Thread starter sachin928111
- Start date
for a day trader days range to breakeven ratio is very important i think and i found this ratiio in ascending order like this nifty future, bankniftyfuture, options of nearest strike though options seems to be very volatile as cpmpared to change in % to the money invested but due to its high dr/bre possibilities seems to be better to make money than future even volumes seems good means less slipage. i m new here still not decided wt to trade.earlier i tried for nifty future but sometime i found its range very low could not make anything then i looked banknifty it was good then i tried to found y it is good i found that it was due to high range/breakeven ratio specially good if u are doing more than 6 trades a day. wt u ppl think abt this...
Hi Sachin,
I found OPTION trading is better than FUTURE trading on few grounds.
1.Let us consider 6K is required for INTRADAY Future lot and 30K for
POSITIONAL lot.(It varies from broker to broker and with the same broker
from time to time based on NIFTY value). With the minimum amount of 6K
you can buy 2 lots of Nifty whose premium is 60 Rs.(60*50*2).The question
of Intraday or positional does not arise in Options since we have to pay
upfront TOTAL premium.
2.You can choose the Nifty Strike according to your FUNDS.Choosing a strike
closer to Nifty is good.In the beginning of the series do not choose OTM
(Far from Nifty) Options.
I found OPTION trading is better than FUTURE trading on few grounds.
1.Let us consider 6K is required for INTRADAY Future lot and 30K for
POSITIONAL lot.(It varies from broker to broker and with the same broker
from time to time based on NIFTY value). With the minimum amount of 6K
you can buy 2 lots of Nifty whose premium is 60 Rs.(60*50*2).The question
of Intraday or positional does not arise in Options since we have to pay
upfront TOTAL premium.
2.You can choose the Nifty Strike according to your FUNDS.Choosing a strike
closer to Nifty is good.In the beginning of the series do not choose OTM
(Far from Nifty) Options.
Good Evening to All, Option trading is good when we have limited profit taking mind otherwise it will swallow all our capital very easily. So before taking options you must finalise your mindset to book profit. But if you wait and take risk then you will get huge profit.
Last month SBIN 2350 put i took at 63 rs. But i booked around 100 but closing you was 2150 level. Likewise i entered in L&T 1300 put, Nifty 5300 put - 7 lots, all I came out with little profit. So option trading is not suit for everyone, be careful.
Regards,
SundarPandian
Last month SBIN 2350 put i took at 63 rs. But i booked around 100 but closing you was 2150 level. Likewise i entered in L&T 1300 put, Nifty 5300 put - 7 lots, all I came out with little profit. So option trading is not suit for everyone, be careful.
Regards,
SundarPandian
what i wanted to say is this on 28/4/12 niftyfuture was up from 5229 to 5339 on time 12.37 to 12.44 (1mt candle clsoe price) at the same time nifty ce 5200 was up from 120 to 128 now now the lenth of nf is 10 points if we trade with rksv we have to give 1.38 points as brokerage which is 1/7 of its lenth but in case of ce lenth is 8 points we have to give .25 as brokerage which is 1/32 of its lenth that is less than 4 times less than that of nf so ce is more winable than nf in every days high low this happens. in this context if nf moves 44 points and ce just 8 then both will both will be comparable. but i know that nf is traded heavily so there must be some other info which i dont know so tell me is it like this ?
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