I have sold OTM stock option in NRML position, what will happen if I don’t square off in expiry day? In what price will it be auto squared off ? How much charges for the same ?
If Option position is OTM, it will expire worthless and as an option seller, you will get to keep all the premium recieved.
Since stock options are physically settled, if the position expires ITM, you will have to give/take delivery of underlying shares. You can learn more about physical settlement here: