Is there any way we can calculate Nifty Futures opening price based on Nifty open price?
The Calculation based on point difference does not work. So is there anyway to calculate or any site which give this Information?
Nobody can give you that for it is not about calculation. You need to understand that NIFTY index and NIFTY future are two separate products. And the fact that a price is simply a point where a buyer and seller agree to trade. Hope it changes the perspective …
On another note … What you can do is read about mean reversion / expiry arbitrage. So if the premium in NIFTY futures has been consistently 2 Rs. and today it is huge all of sudden, you can sell the costly and buy the cheap one for an overall profit on expiry or when mean reversion takes place.
Cheers,
Risk.Money
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How can i get the information on Mean Reversion?
Ok that took a while - especially when the books I usually refer online have vanished. I would have directed you to Zerodha Varsity but surprisingly there isn’t an explicit topic on it.
Anyhow, I found this article … which is quite comprehensive - How To Build A Mean Reversion Trading Strategy
Hope it helps!
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