Hedging in Futures

Dear All,

If the NIFTY is @ 8554 and February Futures is @ 8580 / 8581 (Buy / Sell Price) respectively. If I buy 4 lots and sell 4 lots at the same time and hold it for 4 days, then what will be my profit / loss if NIFTY goes up to 8600 or down to 8500.

Please explain me how to calculate on my own in daily basis.

Thank you.

Yes. you are right.
Just think what will happen if you Sell Feb Future and Buy Mar Future! This gives an opening to new type of trading called Spread Orders or Calendar Spread. Here you holdings remain and not getting closed on both the month’s futures.