Hi ,
What will be the margin requirements in the following scenario -
Lets say I have bought a X quantity of a stock. X is the lot size of that stock.
And I sell a out of the money Call option.
Question 1 - what will be the margin required for selling above mentioned out of the money call option?
Question 2 - Now, 15 days before expiry, the call option becomes in the money, what will be the impact on margin requirements?
will I be asked to provide more margin since the call option has become in the money
or
it will stay same since i have the stock in exactly same quantity.
Thanks