How to trade option?

What happens if i pay Rs 60 for buying nifty ce and nifty falls more then 60 points. Can i still hold the contract for reversal before expiry?

Yes, you can hold the contract till expiry because you have already paid the required premium for holding the contract.

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@jesuslovesusjohn if you buy nifty ce @ 60, it will not be 0 till nifty expiry below that strike price you have bought. you can keep it with a target and stop-loss.

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Thank you… so then i can hold the contract till expiry. It doesn’t matter how much nifty fall. I will loss only 60.

@jesuslovesusjohn You will lose 30k,because in options lot size is there.

Nifty lot size is 500.

no need to wait for expiry,
keep your analysis up to date, and when your system says exit.

bro,
in which market nifty has 500 lot size

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I think before buying or selling the options call or put it will be better to check last two weeks performance, if your analysis confirms then go for it.

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Sorry nifty lot for options is 75

good
it is always necessary to check past performance to make better analysis

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