Sunday, July 22, 2007

Answer to Query-Nifty Options

Question- I HAV SHORT 5 LOT OF NIFTY AT AVERAGE RATE 4400 WHAT TO DO

Answer-You need to is to sell 4600PE put at 170. By this you would be able to cap your losses at Rs. 30 considering nifty at 4600.No considering in august the situations that can happen
1) Nifty reaches 4700-- Your loss would be 130 instead of 300.
2) Nifty remains at 4600- Your loss would be 30.
3) Nifty reaches 4500- You loss would be 30. You would recover Rs. 100 in your futures and would receive Rs. 70 at option.
4) Nifty at 4400- Your loss would be Rs. 30 in options but you would break even in futures. Net loss would be 30.
5) Nifty at 4300- Your loss would be Rs.30.

This all I considered keeping nifty at 4600 today.
Disclaimer-stock market are risky and surprising. I can only suggest and in no way should be responsible for your actions. stock markets are risky and no one can predict but can give views only. In above I have given my views and the repsonsibility of decisiona nd loss and gain is entirely on you. Also I would think more baout it and update you soon. Meanwhile post you yahoo messanger id, so we can chat on it

Post Your Query here                                                              

Related Posts by Categories



No comments:

Blog Archive

http://rpc.technorati.com/rpc/ping http://rpc.icerocket.com:10080/

  © Blogger template 'Perfection' by Ourblogtemplates.com 2008

Back to TOP