Hi Experts,
Is it a good idea to trade in Futures based on Options price in two different months. For eg:
CNXBAN CE 12000 June is at Rs 13 now.
CNXBAN CE 12000 July is at Rs 130 now.
Doesn't it imply that people expect CNXBAN to go up by July expiry. So, will it be safe to buy CNXBAN July Future now at Rs 11,400 and wait?
Above was just an example with CNXBAN. Same can be applied to NIFTY or even stocks.
Please give your valuable suggestion.
Thanks,
Vikas
Is it a good idea to trade in Futures based on Options price in two different months. For eg:
CNXBAN CE 12000 June is at Rs 13 now.
CNXBAN CE 12000 July is at Rs 130 now.
Doesn't it imply that people expect CNXBAN to go up by July expiry. So, will it be safe to buy CNXBAN July Future now at Rs 11,400 and wait?
Above was just an example with CNXBAN. Same can be applied to NIFTY or even stocks.
Please give your valuable suggestion.
Thanks,
Vikas