What are the advantages to trading futures instead of stocks? - Quora.
I will try to explain you with simple chart and make u understand what are the good things about Trading with futures. since the question is about advantages lets stick on to that topic only.Before reading please understand that for all 5 strategies, strike selection will be taught. Strike selection while trading Options is the most essential part to succeed. You get two conservative non-directional strategies on options, one conservative stock option strategy and two conservative directional strategies on Future & Option combination.F&O is an abbreviation for Futures and Options. Futures and Options are derivatives products. Let me explain what derivatives mean. Definition Derivatives are securities which derive their value from one or other underlying securities.Trade in Equity Futures in 3 Easy Steps Below example demonstrate how to buy and sell one lot of NIFTY Future. Step 1 Buy Equity Future. Assuming that you have an account with a share broker in India to trade in F&O segment; the first step is to buy or sell in case of short-selling futures a future contract. Home F&O Market Information Market Today Market Today * Notional Turnover in case of options Archives Get Quote Bhavcopy fo.zip Bhavcopy Download ArchivesLive Nifty options open interest data on excel sheet for July F&O series Nifty options live open interest data excel sheet has been updated for July F&O series. Also traders use it to know the trend of Nifty future. Use the link below to download the file.F&O expiry Nifty ends at 10,589, PSU banks fall; rupee hits record low Among sectoral indices, the Nifty PSU Bank index ended nearly 2% lower led by a fall in the shares of Punjab National Bank, Bank of India and Syndicate Bank.
What is F&O meaning in trading? - Quora
F&O traders suggest Iron Butterfly strategy. The traders are hoping the Bank Nifty expires at this level to earn a profit of Rs 285 a share.Lot of Hype surrounds the term Price action trading, because not all Price action traders approach the markets in a same way. In this article, I will share some insights about Trading Nifty using only Price action strategy. Before that let us de-clutter the meaning of Price Action.Our recommendations are given by group experts who are dedicate in continuous watch of the market. Our track of successful chart history tells it all. Please refer the chart below to know what we recommended earlier and how it proved to be profitable to the traders. To Get Live Experience, Join Carry spot forex hedge. Nifty Strategies. 1,251 likes 3 talking about this. Offers Nifty Positional Trading Strategies. Provides Best Option Strategy, Intraday Trading Techniques & Ideas. Day Trading accuracy 92%. Option.Bloomberg Quint is a multiplatform, Indian business and financial news company. We combine Bloomberg’s global leadership in business and financial news and data, with Quintillion Media’s deep expertise in the Indian market and digital news delivery, to provide high quality business news, insights and trends for India’s sophisticated audiences.Bank Nifty Intraday Options Expiry Day Strategy. Option selling Strategy,WEEKLY EXPIRY STRATEGY. //youtu.be/TYqWEJCi_Ag No Loss 100 safe intraday strategy. Stock Market Option Trading.
To reduce the cost of the put option, the investor also sells a 9 call option at a price of Rs.16.Let us look at what happens at different price scenarios…The above table is self-explicit on why this is a zero risk strategy. Forex mt4 free download. Any level below Rs.960 means that the total cost of Rs.16 on put (8 8) is fully compensated for by the premium of Rs.16 received on the call option.As we go higher, the maximum profit of Rs.20 is achieved at the RIL price of Rs.980.Remember that Rs.980 is the price at which the call is sold.So any profit on futures above the level of Rs.980 is fully adjusted by the loss on the call option.
Easy steps to trade in F&O Equity Future Derivatives
Loss under F&O Trading can be claimed if Tax Audit u/s 44AD is performed by a professional Chartered Accountant in practice. The loss can be carried forward and set off against future profits to reduce the income tax liability. Since loss from F&O Trading is a Non-Speculative Loss, it can be carried forward for 8 years.F&O Strategy Bank Nifty seen trading in 26,360-27,240 range; sell. ThinkStock Photos. “But if the swing low is tested it could trigger stop.Shares of PTC India will be excluded from futures & options F&O trading from February 1, 2019, the NSE said in a release. Based on SEBI’s stock selection/exclusion criteria, contracts on PTC. That means the calls will be slightly overpriced while the puts will be slightly underpriced.This will give you an opportunity to create the Collar at zero loss or at a small worst-case profit.On the upside, your maximum profit is capped at Rs.20.
Indian stock market basics for beginners, Indian stock market for beginners, stock market for beginners in Hindi, stock market for beginners tutorial, stock market tutorial for beginners, stock.It’s also great for experienced traders alike, as you can formulate and perfect your strategies and approach before taking your chance in real world trading. A lot of these trading platforms are free. Not only do you not run the risk of losing your hard-earned money, you also don’t get to spend a dime just to practice trading virtually.Nifty options buying has limited risk but unlimited profit potential, I am going to teach you a trading strategy that can easily multiply your trading capital money. Before starting with this strategy you need to keep at least Rs. 1,00,000 in your trading account, so that you don’t have to risk much of your trading capital. Indikator forex rate of change of. [[A strangle is when you buy a call of a higher strike price and buy a put option of a lower strike price.Normally you buy a strangle you expect the market to be volatile.On the other hand when you sell strangles, you expect the market to be range-bound. Case 2: In the above table, the two yellow shaded portions represent a long strangle while the two blue shaded portions represent a short strangle.
NSE - F&O - Market Today
When you combine a long strangle and a short strangle, you get an Iron Condor. Let us see how the Iron Condor will play out under different price conditions In the above case, the Iron Condor has a positive net pay-off.The maximum profit on the Iron Condor is generated between the range of 10,500 and 10,600 where the short strangle leg has been sold by the investor.But irrespective of the price movement, the Iron Condor strategy is still generating a minimum profit of Rs.50. You will also notice that the maximum profit in the strategy of Rs.150 is the actual net premium received by the investor.There are two very important things to remember here.Firstly, you do not need to wait for the expiry of the contracts.
If the Nifty remains in the range of 10,500 to 10,600 the net payoff of the Iron Condor will come down and at that level you can reverse your position and book the profits.Secondly, this is a 4-leg strategy and including closure it will entail 8 legs.You need to factor in the brokerage and other statutory charges into your calculations when you actually create these zero risk strategies. Banking on a potential decline in implied volatility (Vix) levels from the current 20.14, brokers are advising their ultra-rich clients to initiate an iron butterfly (Ironfly) on weekly Bank Nifty options.The strategy has a risk-reward ratio of around 2.5:1, which makes it attractive.As volatility declines, option premiums reduce, which enables the clients to pocket the premia paid by the option buyers. The traders are hoping the Bank Nifty expires at this level to earn a profit of Rs 285 a share (40 shares equal one lot) or Rs 11,400 at the contract level. Derivatives head Amit Gupta of ICICI Securities and Rajesh Palviya of Axis Securities are advising clients to sell two at the money (ATM) options and purchase two out of the money (OTM) options.
The premiums of the ATMs being higher than that of the OTMs, the Ironfly results in a net credit to the client.The strategy is a combination of a bear call spread and a bull put spread.It involves the sale of a 24600 call (Rs 257 a share) and purchase of a 25000 call (Rs 93). Hot forex trading platform. Simultaneously, the client sells a 24600 put (Rs 215) and purchases a 24200 put (Rs 94).All options (40 shares equal one lot) expire on October 11. The maximum profit is the net premium earned, or Rs 285 a share.The loss is limited to the difference between the ATM and OTM options minus the net premium earned, or Rs 115.
The maximum profit happens if the Bank Nifty closes at 24,600 on expiry.Traders Suggest Iron Butterfly The upper breakeven point (BEP) above which the client begins to lose is at 24,885 (24600 285) and the lower BEP kicks in at 24,315.The loss is limited to Rs 115 in either case as the client has purchased an on-the-money (OTM) call (25000) and an OTM put (24200). Pinarello dogma 65.1 cinese. Gupta says that in the past two years whenever the Vix has hit 20-21 levels, it has reversed from there towards 15-17 levels.This decline causes the options premia to drop and the client to benefit from the fall since she is a net seller.YES Bank Interesting F&O activity was witnessed on YES Bank.