What Will Happen For ThiS NRML NIFTY17OCT10500CE Order at 3:30 PM. (Learning Options)

  1. My Question is Can I hold This Position Till EXPIRY day 2017-10-26?
  2. How Profit and Loss will be calculated? on DAY BASIS or The day I will exit from this Order?
  3. To Exit this order I have to place A fresh SELL Order of same Quantity?

  1. you can hold it till expiry

  2. p/l will be calculated on the day you exit

  3. yes

Be careful with deep OTM options as the price depreciates (your option will become zero if spot nifty doesn’t go above 10500 ) rapidly as we near expiry and they don’t appreciate/depreciate exactly as per the spot nifty price levels.

If Premium Goes ZERO, My Maximum Loss will be Rs.352.5/- + Tax & Brokerage?

Yes. Premium Paid (2.35 * 150) + Brokerage + Taxes. Learn About Option Trading Basics in Zerodha Varsity, it’s free and well written.

Yes (Loss: -406.34)

You can easily calculate everything at the below link: