FUTURES AND OPTIONS (PART-21)

 We had already discussed about Intraday Trading in previous post.

Now in this post I am going to tell you about Future and Options.

WHAT IS FUTURES AND OPTIONS?

• Futures and Options are a kind of trading methods in which you have to make a contract and predicts the pice value of the stocks. If your prediction is correct then you can make profits and if your prediction is wrong then you can make losses.

A future is a contract to buy or sell an underlying stock or other assets at a pre-determined price on a specific date. On the other hand, options contract gives an opportunity to the investor the right but not the obligation to buy or sell the assets at a specific price on a specific date, known as the expiry date.

You can buy CE(call option) and sell PE(put option).

★ It is highly risky but you can make a huge profit and loss also.

In F&O, expiry is always on Thursday. You can't buy Index but you can buy stocks and Futures.

★ If you want to calculate leverage then use margin calculator 

Leverage:— It helps you to buy more number stocks in that same amount of money in which you only buy less number of stocks before using leverage.

If you have not visited our last post on Intraday Trading then click on this link or copy it and paste it on chrome 

Link- https://commerceworldteam.blogspot.com/2024/04/intraday-trading-part-20.html

Please comment below if you like our post and also comment below if you face any kind of difficulties.

Thanks for visiting