Hope you are doing well. I just got into trading a couple of months ago. Till now I’ve been trading small quantities of stocks (and before that I was doing paper trading).
My Qs will probably sound stupid.
I want to start paper trading in FnO. I want to know if trading in Intraday is the same as stocks?
Like if I want to buy a Nifty CE Intraday then is it allowed or does trading in FnO only delivery based?
Also, is shorting of CE allowed just like stocks? Like shorting a Nifty CE in Intraday and then covering your position the same day?
Certainly! You can engage in intraday trading with Option contracts, although it’s important to note that the liquidity of different strike prices may vary.
Given the questions you’ve asked, it appears that you are new to Option trading. In that case, I would recommend going through this informative Varsity Video to enhance your understanding of options trading. It will provide you with valuable insights and help you grasp the concepts better.
Paper trading is unavailable but for info on the rest of the queries,
Please download Varsity by Zerodha in Google paly store or Apple Store which will give you a detailed learning of the above-mentioned topics.
Ys shorting ce n pe allwd . Bt if u trade directional thn u cn buy pe instead of shortin ce to get max benefit of direction … buying n shorting ce pe little different than stocks . learn abt delta n theta before startin
Thank you for your replies and clearing my confusion.
I’ll definitely check out the video. I find the varsity videos very helpful, I do learn and make notes from their videos and others that I find useful. So far it has been okay with stocks. I will start with literal paper trading as in write it out in my journal for FnO, that’s how I started with stocks.
@Varun_Katyal
So far from what I’ve seen in videos is that one requires a huge amount for PEs. I understand that selling PEs is more profitable than CEs, but requires a really good amount of money. Or am I wrong here?
Yes I saw a video about Theta decay, also understood never to go too In and Out the money, but I still need to understand these concepts better.
Just getting started with this journey.
Thank you again for taking out the time to reply, I really appreciate it.
