Comment on Basics on Options Shorting/Writing

Milan commented on 30 Mar 2015, 11:24 AM

Hi Nithin,
i have observed that…. Nifty Option Shorted, this technique is more profitable than buying CE/PE Nifty Option.
Case 1 )
i short Nifty April 8400 CE at Premium : 39 , Lot :250. (MIS)
Than
i must have to Buy Nifty April 8400 CE Lot :250 (as MIS) before Market Close….
AM i Correct in case 1 ???

Case 2)
if today,
i short Nifty April 8400 CE at Premium : 39 , Lot :250. (NRML)
Than
i must have to Buy Nifty April 8400 CE Lot :250 (NRML) Before 30th April (Last Thursday)….
AM i Correct in case 2 ???

Please Clarify in both case , i’m wrong…
Thanks

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