Suppose i had bought a Put option of USD/INR pair at an underlying price of 65.1 and the current underlying is 64.4. As a buyer of the put option i have the rights to sell the pair at 65.1 and i can buy the pair at current price. How do i complete the process like aforesaid through zerodha pi?
In India all options are cash settled, so what ever the theoretical definition reads it work the same way across any platform with any broker. Select the contract, add to market-watch,just buy and sell, during the course if you were able to sell at higher price than buying price one will end up in profit otherwise in loss.
The process you are saying is to profit on the premium. That isn’t the same with what I want to know
What is your query about then? can you explain a bit more.
See there’s two way you can make profit on a options trade. First is on the premium like you explained another way is to take position of that particular stock and buy or sell if the underlying price is making you more profitable. I want the procedure for the second one.
Other way is to just trade in future contract and make profit out of it. Add future contract on to market watch and follow the same, buy low and sell high or sell high and buy low. There is nothing as spot trading on exchanges or trading in forwards for retailers.