Foreign Indices

tradedatrend

Well-Known Member
#1
Foreign Indices like DJIA, FTSE, and S&P500 have been introduced in our market for quite some time.

Never traded till now.

Off late I wish to trade some small quantities (may 1 lot in starting) of them.

But when I checked option prices of ATM strike price, I was to shocked to see zero volume, i.e. no buyer or seller i.e. zero price. Infact DJIA has no option even.

Could somebody enlighten me who has traded these indices through NSE?


TIA
 

DSM

Well-Known Member
#3
Tradedatrend,

Nothing to be surprised. Foreign indices have low liquidity in the Indian markets for many reasons - overnight gaps being one of them, however, few people with deep pockets or institutions are trading indice futures. What you have been looking for is at options - which are not traded, but Indice futures certainly are relatively more tradeable. Check the data below :




Foreign Indices like DJIA, FTSE, and S&P500 have been introduced in our market for quite some time.

Never traded till now.

Off late I wish to trade some small quantities (may 1 lot in starting) of them.

But when I checked option prices of ATM strike price, I was to shocked to see zero volume, i.e. no buyer or seller i.e. zero price. Infact DJIA has no option even.

Could somebody enlighten me who has traded these indices through NSE?


TIA
 

tradedatrend

Well-Known Member
#4
This much slippage will kill us. Scary!

Tradedatrend,

Nothing to be surprised. Foreign indices have low liquidity in the Indian markets for many reasons - overnight gaps being one of them, however, few people with deep pockets or institutions are trading indice futures. What you have been looking for is at options - which are not traded, but Indice futures certainly are relatively more tradeable. Check the data below :