Hello friends,
I have been trading Nifty Options for long, but I do not have much idea about currency options. Would be obliged if you help me understand a few things regarding it. My queries:
1) Is the one NSE currency option lot 1000?
2) How does the long and short positions "work" in the Forex market http://www.nseindia.com/live_market/dynaContent/live_watch/fxTracker/optChainDataByExpDates.jsp ? I am sure this confuses many beginners. Is it same like the Nifty? Kindly explain this part by examples.
3) Can the position be squared off on the same day?
4) Why there is so much difference in LTP of Calls here http://www.nseindia.com/live_market/dynaContent/live_watch/fxTracker/optChainDataByExpDates.jsp ? It is fluctuating - deep in the money calls are cheap, some not so deep are expensive(!) and so on.
So far I remember only this much doubts , will ask more ask it comes to my mind.
Many thanks for your time.
I have been trading Nifty Options for long, but I do not have much idea about currency options. Would be obliged if you help me understand a few things regarding it. My queries:
1) Is the one NSE currency option lot 1000?
2) How does the long and short positions "work" in the Forex market http://www.nseindia.com/live_market/dynaContent/live_watch/fxTracker/optChainDataByExpDates.jsp ? I am sure this confuses many beginners. Is it same like the Nifty? Kindly explain this part by examples.
3) Can the position be squared off on the same day?
4) Why there is so much difference in LTP of Calls here http://www.nseindia.com/live_market/dynaContent/live_watch/fxTracker/optChainDataByExpDates.jsp ? It is fluctuating - deep in the money calls are cheap, some not so deep are expensive(!) and so on.
So far I remember only this much doubts , will ask more ask it comes to my mind.
Many thanks for your time.