Stock options understanding

Yes, you can let your position expire. As explained above, if the position expires OTM, there will be no physical settlement and you will get go to keep the premium received.

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Thank you.

Hi @ShubhS9

Lets say i have 100 infy shares in my holding.
I sell 1900ce infy (lot size is 300) for nov expiry.

If infy spot on nov expiry is 1950. instead of squaring the call options positions ,
Can i buy 200 infy stocks on expiry day and use the total 300(200+100) for delivery?

No…I don’t think that will do because you must have the whole lot in your demat…so you must buy 200 shares two days before expiry I believe…some expert can throw more light on this…

You need to have sufficient shares in your demat account on the day of expiry, else it will result in short delivery. Explained here.

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@ShubhS9
Why some stocks are not included in F&O? How long does it take for a company to come under F&O once the stock is listed

Stocks have to meet certain criteria set by regulators to be included in F&O segment. You can check out more on this here.

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Hi @ShubhS9 @Prayag @siva

The stock option for DEC month expiry, PE option, upper circuit is reduced each day , Why?

Eg: Day 1 upper circuit was 49, Day 2 upper circuit was 39, Day 3 upper circuit was 29, Now 19 . Why?

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Does anyone know @Sensibull vip industries,adani green script code name for sensibull option chain

why some stocks are marked trade to trade?

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VIP Industries and Adani Green do not trade in F&O segment. You can check out the list of stocks that trade in F&O segment here.

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Hi,

Lets say i buy stock put option , which means on expiry i have to give delivery if it expires in the money. Eg : bharti airtel put option. its quantity is 1886.

Assuming i am not happy with the price to which it has to squared up.

So i will buy the stock of bharti airtel 1886 quantity and give this for delivery. (i will do this one week before).

Is this ok?

Price doesn’t matter. You have to just deliver required qty irrespective of price considering option position is ITM

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Assume i didn’t have bharti airtel in my demat account at the beginning of the month. But bought mid of the month

You can buy underlying shares after taking option position. All you have to make sure is to have underlying shares in your demat account on expiry day for delivery.

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Hi,

Initially ,infy spot:1810 , Assume

I buy 1800ce and sell 1700ce
On expiry infy spot is 1900 which means both of my strike is in the money. since i have sold one call and bought one call , will it net off each other and not result in delivery(Since it is ITM)and only pay the loss cash amount? @ShubhS9 @Prayag @Vij @jashjacob

Today Mothersumi spot 185.

210PE indicates 1.85rs
where as the open,close,high,low all have 0.05rs .

For LTP to be 1.85rs there has to be a trade at that price right? or is it just indicative price using black and scholes formula?

stock option, ITM, OTM, future

MARGIN FOR OPTION BUYERS! No More "Do Not Exercise" Option! - YouTube


@ShubhS9

How is Upper circuit and lower circuit calculated? LTP is 21, upper circuit is 56 which seems low very low for a individual stock option

a simple Google search will answer most of your queries ( btw i went through all the posts in this thread )

Anyway
Price Bands: Trading - NSE India

Read the first para properly

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