Market related Query Solution

I have gone through some of the questions pertaining to Option Market, Equity, etc. So today i am just sharing my view on that questions. 


Que. 1. What is the net effect if you sell one nifty CE and buy one Nifty PE?

Ans:-  This is called option trading strategy where in trader wants to make money from Option trading through hedging. Now in above case if you sell one Nifty CE (Call Option) then you will get that amount as credit and against that you are buying one Nifty PE (Put Option) to hedge the call option where in you have to pay premium for that Put Option. So in net you will get premium difference between Call and Put.

Let's take an example so that we can understand it in better way.

Suppose Nifty is trading at 11300 and after 2 day there is expiry. And your view is that Nifty can expire between 11500-11400. So you have decided to Sell 11500 Call option. And against that you are buying 11200 Put Option. Suppose 11500 Call Option premium is Rs.50 and 11200 Put option premium is Rs.10, so you will get Net Rs.40 if Nifty expire between 11500-11400. In this case above 11500 you will be in maximum loss situation and below 11200 you will be in maximum gain situation. And between 11200-11500 your maximum profit is fix to Rs.3,000/- (I.e Rs.40 * 75 qty of 1 Nifty Lot).  

Que. 2. How to track stocks in Pre-open market session?

Ans:-  One of the best way to track pre-open market data is NSE india Website. Click Here. Here you will find filter tab from where you can check data of any Stock under any Index like Nifty 50, Bank Nifty, Securities in F&O, Etc. Below is image of that page.



Que. 3. How to Know Nifty P/E value on Daily basis?

Ans:-  For that also NSE India website is fine to check that on daily basis.Click Here for Page. You can check P/E value for any date just select period as per your requirement. Below is P/E value of Nifty today.



Que. 4. Can you sell your stock on Market Holiday?

Ans:-  No. You can not sell your stock on Market Holiday. Any stock that you want to buy or sell that can only possible during market hours only. 




0 comments:

Post a Comment