Comment on Trading Q&A

Anuj commented on 24 Mar 2017, 12:25 AM

How options value calculated?
Why it changes even if the value is same. For example:
Nifty is currently at 9000 and I take a call option for 9100 @ 100(expiry after 1 month) but it weakens and at the end of the day call has value to 95 as nifty dips by 20 points. Now, next day even Nifty opens at 20 points plus it it has still value 95. Again if nifty gains 50 points and then fall 50 points i.e. reach to 9000 again and now it shows value 105. Why this happened?? Why at same value of nifty it has 3 different call values ? How these values calculated??

View the full comment thread »