Nifty Financial institution closed at 43906.65 (final tick).
44500 PE 22 Jun closed at 569.2
44500 – 43906.65 = 593.35
So far as my understandin, the value of the choice ought to be no less than 593.35 + premium?
So why is it buying and selling at 24.15 Rs low cost? Any dividend or company motion coming?
Correction
BN closed at 43938.15
44500 PE 22 Jun closed at 569.2
Intrinsic worth ->> 44500 – 43938.15 = 561.85
Possibility Value = Intrinsic worth + Time worth. (569.2 = 561.85 + 7.35)
Hope you bought it
dtyxg:
BN closed at 43938.15
That’s the final 30 min common closing value. I’m speaking about final minute candle value.
KD61:
So far as my understandin, the value of the choice ought to be no less than 593.35 + premium?
Futures&choices are one instrument. The choices will mirror the futures costs.
44500ce=46.8, 44500pe=569.2 (artificial future value = strike value + ce -pe = 43977.6)
so, the banknifty twenty second june expiry future is buying and selling at 43977.6
(the extrinsic worth of itm possibility = worth of otm possibility of similar strike of similar expiry)
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Ashwin_kumar1:
The choices will mirror the futures costs.
Fairness Index Choices get settled primarily based on spot worth and never futures.
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Okay.
We don’t contemplate the final minute candle value for closing of the day.
What was your query once more?
t7support:
Fairness Index Choices get settled primarily based on spot worth and never futures.
flawed, it is best to search for what futures and choices are and the way they’re associated
(trace: if i take an artificial futures place utilizing choices and it doesn’t match the futures value, it might present an amazing arbitrage)
Ashwin_kumar1:
flawed, it is best to search for what futures and choices are and the way they’re associated
FYI…https://www.nseindia.com/products-services/equity-derivatives-settlement-price
The f&o value will match the spot worth at expiry however not all the time so pre-expiry.
Ashwin_kumar1:
(trace: if i take an artificial futures place utilizing choices and it doesn’t match the futures value, it might present an amazing arbitrage)