Comment on Basics on Options Shorting/Writing

Arun commented on 27 Oct 2014, 05:11 PM

Hi Nithin,
Thanks for your knowledge sharing….
I am new to options trading, I have few questions:
can I buy large amount of call options? say 7000 Nifty calls (7000/50 = 140 contracts) and sell it at increase of 5 to 6 points of premium? Do I get buyers for this huge amount of call contracts? is it profitable?
Or Is it advisable to buy only 200 calls (200/50 = 4 contracts) and wait for increase of more premium?
Kindly advise!
Arun

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