Guys I have bought NIFTY PUT(PE) 10000 for the value of 13.5 but now it’s value is down upto 7.6 .
I need the suggestion whether to hold it or let it go in loss as market conditions from the recent reasearch seems to be better. I don’t know what to do as I m new in the field of trading.
Please suggest me the way to minimize my losses.
Hey Suyash,
You say you are new and have directly gone forward and leapt into options trading! Hope you have understood how options work, since you have bought an option, the maximum loss for you is the loss of premium( if the contract is At the money -Nifty closing at 10,000 ,or out of the money-Nifty closing above 10,000 on the expiry day). If you do not see Nifty going down below 10,000 , you can still get back part of the premium you have paid by exiting the position before the expiry!
Do learn more on zerodha.com/varsity and on zerodha.com/educate.
Cheers,
Lindo