How do i calculate implied volatility for a particular option

General
1

As in the IV for a 300 Put of Voltas

2

THERE IS NO NEED TO CALCULATE THE IV … POSSIBLE WAY SEE CHECK THE OPEN INTEREST, THAT WILL HELP IN GREAT DEAL .

3

NSE publishes the implied volatility of stocks - check this - http://www.nseindia.com/live_market/dynaContent/live_watch/option_chain/optionKeys.jsp?symbolCode=231&symbol=VOLTAS&symbol=VOLTAS&instrument=-&date=-&segmentLink=17&symbolCount=2&segmentLink=17

You need to look at the ‘IV’ column.

4

It wont help as i need them to take a position in options and take a call on the back of the same. That is to go for a straddle or a strangle…Long or short would depend upon the iv.
So the question still remains…

5

Thanks for your reply Karthik but as you can see NSE doesn’t publish the IVs for all the strike prices. For example for 310 PUT -VOLTAS it is not there. For 320 PUT as well it is not there and it is the same case with the 270 and 280 calls of Voltas as well. In these cases how do i go and calculate one is the question.
Do we have a way of calculating the IV in such cases ?

6

Calculation is very similar to ViX calculation , this should give you some pointers - http://www.nseindia.com/content/indices/white_paper_IndiaVIX.pdf