Trading and Investings Related Queries

Is there Problem of Volume in Options and Futures also,like not able to exit from positions in orders due to low volume,if yes what are charges for short delivery.

In F&O, if there are no buyers for you to exit your short position, or sellers to exit your buy position, there won’t be short delivery but you will be forced to hold the position till expiry. And your P&L will depend on the moneyness of the position.

The outcome will also depend on which Options you’re trading, Index (Nifty, Bank Nifty, FINNIFTY) are cash settled. While Stock F&O are physically settled.

Talking about Index Options, for example, if you’re buyer and Option expires ITM, it’ll be settled at the intrinsic value and difference between your buy price and settlement price will be your P&L. If it expires OTM, it will expire worthless and you will lose the entire premium paid.

Coming to Stock Options (these are physically settled), for example, if you have bought Call Option and it expires ITM, you will have to take delivery of shares, and if the expires OTM, there is no obligation of physical settlement as the Option will expire worthless and you will lose the premium paid. You can learn more about physical settlement here.

1 Like

Can u tell from where to get news of company faster then a business news channel’s,as the news is shown on tv the Shares price are already gone up or down before tv news in Market Time.

Couple of thoughts

  • With shares there is always some one with more knowledge than the public and even a news channel.

  • Unless you have the resources (money, people, tech among other things) that keeps a business news channel running it won’t be realistic to hope for a scoop consistently.