Comment on Open Interest, MaxPain & Put Call Ratio(PCR)

Nithin Kamath commented on 22 Nov 2013, 07:22 AM


If nifty closes at 6100 on expiry, 6200 calls value would be 0 and not 12 in any case. If it is 0, it expires worthless and you get to keep the entire premium that you received when you shorted and the margin is unblocked at end of the day. Perfect situation for an option writer, you don’t have to pay brokerage or taxes when an option expires worthless.

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