Options Doubt

[anuragmunjal]

yes deep itm it is .. there is no extrinsic value.. assuming the mkt was to expire here itself.. at 8365.. your loss profit is zero. so you are not getting any gain by time decay.

regards

 

[shivasrinivas2012]

Thanks Anuragmunjal sir.

can anybody tell how to create alert for new replies at once posted in threads or private messages , though i signed in , im unable to see new replies immediately after posting or i have to refresh the page in some intervals?

 

[shivasrinivas2012]

Hi , anyone give some views about this , (let take todays closing price for example )
selling nifty cmp 8508.70
selling 8500 pe 76.95
so upper protection is 8584.60 till this expiry , ok what if goes down what are the probailities , here delta for nf is -1 and delta for shorting pe is -.48 ie near .5 till abv 8500
so if nf falls 10 pts , pe will rise 5 pts and if nf falls 20 pts ie goes below 8500 pe will rise 1 pts equal to nf as below 8500 , at which point will get 10 or 20 pts gain ,only below 77 or 72 pts neutral and more 10 20 pts ie nf at 8411.7 or 8416.7 ,more fall then only i will get 20 pts in this trade ? also time decay there if trades sideways

 

[shivasrinivas2012]

though support at 8398 , today highest OI at 8400 at 56 L , with 57 k contracts liquidated and 8300 next high OI with 45 L with 5.3 L contracts added today

 

[shivasrinivas2012]

also 8500 pe intrensic value is 9 only other 68 is time value have to be decayed if expiry at 8500 (by chance if fall to 8400 and again expires at 8500 or abv just asking for clarification)

 

[anuragmunjal]

Hi , anyone give some views about this , (let take todays closing price for example )
selling nifty cmp 8508.70
selling 8500 pe 76.95
so upper protection is 8584.60 till this expiry , ok what if goes down what are the probailities , here delta for nf is -1 and delta for shorting pe is -.48 ie near .5 till abv 8500
so if nf falls 10 pts , pe will rise 5 pts and if nf falls 20 pts ie goes below 8500 pe will rise 1 pts equal to nf as below 8500 , at which point will get 10 or 20 pts gain ,only below 77 or 72 pts neutral and more 10 20 pts ie nf at 8411.7 or 8416.7 ,more fall then only i will get 20 pts in this trade ? also time decay there if trades sideways

hi..

position 1 = short future = long put + short call
position 2 = short put

long put and short put cancel out .so essentially you have a position of short call

why unnecessarily give 2 legs commission as well as margin. simply short the 8500 ce.

the risk to reward in shorting a 8500 ce and the 2 legged position that you have put on is the same.


regards

 

[TRADERSM]

The Option Trading Strategies

Hedging Strategies
Protective Put
Collar Option
Covered Put

Debit/Debit Spread Strategies
Long Call
Long Put
Option Straddle
Option Strangle
Bull Call Spread
Bear Put Spread

Credit/Credit Spread Strategies
Covered Calls
Naked Puts
Covered Combo
Bull Put Spread
Bear Call Spread
Iron Condor

(OR) My Trading System @ Day trading


1.) What is difference between using (Option Strategies & My own system)???

2.) Does clear cut trading system works on options???

3.) option hedeging works on intraday trading???

Thankyou:thumb:

 

[TRADERSM]

The Option Trading Strategies

Hedging Strategies
Protective Put
Collar Option
Covered Put

Debit/Debit Spread Strategies
Long Call
Long Put
Option Straddle
Option Strangle
Bull Call Spread
Bear Put Spread

Credit/Credit Spread Strategies
Covered Calls
Naked Puts
Covered Combo
Bull Put Spread
Bear Call Spread
Iron Condor

(OR) My Trading System @ Day trading


1.) What is difference between using (Option Strategies & My own system)???

2.) Does clear cut trading system works on options???

Thankyou:thumb:

all seniors please respond................

 

[TRADERSM]

The Option Trading Strategies

Hedging Strategies
Protective Put
Collar Option
Covered Put

Debit/Debit Spread Strategies
Long Call
Long Put
Option Straddle
Option Strangle
Bull Call Spread
Bear Put Spread

Credit/Credit Spread Strategies
Covered Calls
Naked Puts
Covered Combo
Bull Put Spread
Bear Call Spread
Iron Condor

(OR) My Trading System @ Day trading


1.) What is difference between using (Option Strategies & My own system)???

2.) Does clear cut trading system works on options???

3.) option hedeging works on intraday trading???

Thankyou:thumb:

all seniors please respond................:rofl::rofl::rofl::rofl::rofl:

 

[TRADERSM]

all seniors please respond................:rofl::rofl::rofl::rofl::rofl:

please help me.................