How Option Trading Works
When you trade options, you’re speculating on how the price of the underlying asset will move within a specific time frame. Here’s how it works for both types of options:
a) Call Option Example
Suppose Reliance stock is trading at ₹2,500. You buy a Call Option with a strike price of ₹2,520, paying a premium of ₹20.
b) Put Option Example
You buy a Put Option on Reliance with a strike price of ₹2,480 and pay a ₹15 premium.
When you trade options, you’re speculating on how the price of the underlying asset will move within a specific time frame. Here’s how it works for both types of options:
a) Call Option Example
Suppose Reliance stock is trading at ₹2,500. You buy a Call Option with a strike price of ₹2,520, paying a premium of ₹20.
b) Put Option Example
You buy a Put Option on Reliance with a strike price of ₹2,480 and pay a ₹15 premium.
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Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Hello Everyone! 👋
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Feel free to ask any questions. I'm here to help!
Details:
Contact : +91 7678446896
Email: skytradingmod@gmail.com
WhatsApp: wa.me/7678446896
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.