Bhai rumour ka matlab b smjha do koi .
what does this really means? Current contract size is 5 lakhs and it will go to 30 lakhs minimum . which means what ? and where it is going to affect? how is it going to affect NF lot size for futures contract or Options contract?
means nifty lot size will go to 150 now its 25 , so margin money goes up 6 times , so small retail traders cant trade .
It might affect in the volumes
ohhhh bhai fir to sahi move h… Hero zero expiry trades speculation will go down drastically …and if this comes into play and then govt also decides to make direct 30% tax on FnO or make it as speculative income then it would be wrong…what do you guys think is it a good move or bad move?
An unfortunate move if it happens.
Makes it more difficult to size positions at fixed % risk.
In us they have micro futures, here we might go in opp direction.
Only One weekly expire in one exchange -
for example, there is 4 expire in weekly in NSE - according to Sebi there will be only one weekly expire - NSE have right to choose any one index they want to include in weekly expire - but lot size value will be 30 lakhs
All brokers revenue go down - our tax money we can save - our tension will be reduced
Retailers Sugar will become normal - BP will be normal
Good move I like it
After weekely expiray only market will become more volatile
BANK NIFTY
in Weekely expiray when nifty 50 point move option premium are running high immediately - its really headache for option seller in monthly also
I don’t think NSE will give up Bank Nifty expiry so easily , they will ask Sebi for 2 weekly expiry, in that case BSE also keeps Bankex and sensex
This is absolutely a good move for option buyers. It will infuse more liquidity from buyers side and give directional moves for buyers who lost major money just to decaying instruments. Also, it will make those Jane Street strategies obsolete n prompt them to recreate new ones to trial n test. Now market will have more trending days than sidewise.
You know that this will lead to higher premium right?
Bik gai hai gormint!
It is a bad move as retail traders will trade in binary options, crypto and forex and then the indian money will go to foreign entities.
SEBI will declare it illegal and low capital retailers will then have to deal with foreign platforms and the money that could have increased Indian Market will now go to unregulated markets.
As a senior journalist explained , they will do it in a phased manner and watch , how markets are reacting ,how the volumes are and all that , It wont be all of a sudden , It will take time
Yes, I do. Higher premiums would mean less lots. Less slippage. Quick trades from directional movements n saving ur capital/premium from decay.
These recommendations are only for index options or also for stock options?
I think they’re ideally for Index options or those options which are cheap and have weekly expiries.
option buyer will lose more money if premium is high.
Traders with small capital will buy OTM and it will increase risk to lose more money.
sebi wants stock market to give slow and steady growth like gold and FD. stock market suppose to be volatile, which is why it is high risk high reward segment, they trying to change the nature of stock market which will end really bad.
They keep trying to kick traders out of stock market, traders is who sells hedge to mutual funds and other investors, one day there wont be enough traders left to sell hedge during black swan event, every naked portfolio will try to exit at same time, that will put end to indian mutual fund and investment dreams.
Don’t Follow the logic. Theoretically, the decay is still gonna happen irrespective of contract size. Any speculative buyer is at more risk of losing higher premium