Can we buy an option in niffty on the expiration day any time and sell it before close? Some of my friends say it is risky or not possiable> plz clarify

General
2

Yes . We can Buy and Sell before close of Market. But we have to be sure those options are In the Money. As well as Options are very risky. Newbie better to stay away from current month options in the expiry week. On expiry day it very risky because expiry day may be more volatile. with in fraction of time your profit position may turn into Loss Position if Money management is poor.

3

Yes you can buy at available price and sell at whatever available price you get.

If your selling premium is higher, you are in profits, otherwise loss.

But you should be aware of the fact, in last few mins options price might go lesser than the intrinsic value due STT charges which are high (for option buyers, they need to bear higher STT, so sellers cannot demand higher price)

1 Like
4

thanks for ur time sirs appriciate it very much …

5

thank u vasmi sir
is it not possiable for us to buy options out of the money and sell it when in the money

6

yes you can buy out of money options and can sell it when in the money

7

@ L88
In Dec14 expiry, I have observed the NIFTY premium price of 8200 put option dwindle down to 0.45 INR on expiry day and rise almost 100 times and finally get settled at around 28 INR during settlement.
So yes, you can buy OTM options and sell when in the money.
But this is very risky, as usually OTM options will tend to zero more often than becoming in the money.