Some Option Trading Strategies that You Must Follow
Options are contracts that give one party the option to buy or sell a particular security at a predefined price and at a specific time from the other party. The following are some types of nifty options strategies with their corresponding risks and benefits that investors can utilize to achieve their specific investment goals. Bull and Bear Strategies Long Call Options Strategies These bank nifty options tactics are one of the simplest to employ. Under this strategy, the trader purchases a call option and then simply waits for the value to appreciate. Regardless of whether the call is bought in; at; or out of the money, the trade results in again when the premium plus the strike price is passed. This bank nifty futures option involves low risk. It is limited to the amount of premium regardless of market volatility. Premium is highest when bought in the money; lowest when bought out of it. Short Covered Call Options Strategies These contracts involve bot...