Peter May 12th, at pm. Additionally, the risk is capped to the premium paid for the put options, as opposed to unlimited risk when short selling the underlying stock outright. What is a mistake by the government though is that when they reduced the STT rates for delivery based trading from 0. Anil what the SPAN shows is what our exchanges ask for. I came across this website only recently, and it is really impressive the work you guys are doing.

Not knowing the answer to the above questions can cause a potential loss and hence the reason for writing this blog. I if assuming that all of you reading understand the basics of option trading. Many of us would have had if following 2 questions or faced similar scenarios at some point of our trading career The seeming anomaly in the price or the extra debit in the above scenarios is because of tthe STT Security Transaction Tax is considered for options that are exercised.

Options are considered exercised if you hold buy positions in options till the end of expiry till after 3. STT on normal option trades done on the exchange is charged at 0. So, if you buy 1 lot of Nifty options at Rs and sell it at Rs prfit, you have to profti 0. Usually the STT component while trading options is almost insignificant, in this example it is only Rs 3. Again while buying there is no STT, but since it capculate exercised, on the selling seep you would pay an STT of Rs Rs would mean more than 7 points of movement on Nifty options, that is how high the impact of STT could be.

Love playing poker, basketball, and guitar. How much STT will be charges. It will be higher Losz as the option has got exercised by the person against my position or lower STT will be charged? As mentioned in the article, since you are writing options i. If I had bought 1 optlon Engineers India April CE at 4. Last trading price is What provit happen to my Holding?

Will it be sold by the exchange at last trading price and return the amount to my account? I think the stock closed at Yes, it will automatically get exercised and you will get this Rs But you will have to pay that higher STT on it. You should check your contract notes to see all the charges. Until Government looks into this, Zerodha should help every one in implementing a code at PM on expiry day every options should get squared Off automatically. I got one lot of nifty cal at in march last.

This call was for may. It costed me 13, in the last March. As of today it was going too low so my stop loss triggered. I got only profit. I should have exit two japanese yen options trading system earlier which was rs profit. But when I exit today they deducting 13, whole money as premium for option. Then why do optio say for all trade it is make 20 or. So max 20 rs. Only should be deducted.

Why this premium for options Plz out me to retrieve this Bala, STT is charged by the government and not the broker. Unfortunately, prfoit way they charge STT calculatr expired in the money option is not right. We are supporting this petitionso can you. Exchange merely implements Government Orders within the legal framework it is supposed to adhere to. In India all options are cash settled and there is no actual exchange of delivery that takes place once it is exercised, only the cash difference is settled.

What is a mistake by the government though is that when they reduced the STT rates for delivery based trading from 0. Pur a thing which cannot be delivered, how it amounts to the transaction of that thing and the government is charging the tax on the amount of undeliverable thing. Thia did not happen in the kingdom of Aurangazeb in 17th century. Optiln than a mistake, it seems ,the rules are bent in favour of the option writer. After all its the deep pockets that are writers in most cases.

STT is levied on the settlement price. Settlement price of an option is calculaate as the closing price of the underlying, which defies all logic. What if Bought CE or PE becomes 0. What will be STT? If you had bought nifty calls and nifty closed at No one ceep there to buy my calls as premium is at What happens at expiry. I understood about STT I need peofit pay, but what will be my profit or loss?

As there is no one to buy, do I end in loss? Arun all in the money rhe get exercised. If you have calls and nifty closes expiry atyou will get back This will complete my understanding on Options trading. I really appreciate your response for each question oprion the customer. Thanks Zerodha again and just fyi, I recovered my losses after becoming Zerodha customer which enabled me to do more trades. I am a house wife and I am doing option trading from last six months. Pput u optioon me how can i take my profit and loss statement.

PNL caculate is available on our backoffice. Yes,ideally you will need to have this audited by a CA. Quick question: Is STT applicable when I buy back my previously sold call or put option and let it expire In-the-money? Ptofit Put or call pdofit at SP: X for premium P. Buy that calcilate option i. At the time of expiry, options are In-the-money… if No, then does applicability of STT change with strikeprice?

If Yes, then whoever buys that in-the-money option LAST have to pay STT. Meaning government is sure of STT income for all the in-the-money option contracts, right? A sells options to Mr. B then at the time of sale, Mr. A pays STT 0. At the time of expiry, Mr. B will try his best to sell this option if calculate profit loss of the put option deep option is In-the-money. B can sell that option then Mr. B needs to pay STT 0.

Now, there are two possibilities. B sold back that option to Mr. A held it till expiry and option was In-the-money. A did NOT pay any STT for profut particular option contract even if it expired in the money, right? Second possibility is that Mr. B sold that option to Mr. C anyone other than Mr. A and if Mr. C held it till expiry and option was in the money, then Mr.

C paid much higher STT 0. Te STT applicable when I buy back my previously depe call or put option and let it expire In-the-money? STT is NOT applicable when you buy back your previously sold options and let it expire in-the-money. Now, second doubt: If I sell option for SP X and buy same type of option i. Options capculate are at advantage when buying back their in-the-money options at the time of expiry since they need not pay any STT, right? Optionn STT is charged when you are the buyer of an in-the-money option and have not squared it off before market closing.

In such a case the option gets exercised and you get charged STT at a higher rate. No excess STT gets ghe. Trailing by some perecent, price difference etc. Zerodha has lowered brokerage costs which is appreciable — but lacking on many other aspects still. I tried to search the blog for my doubt and came to read this post which was very informative. However, my doubt remained unanswered. If I purchased nifty option 45rs and on the date of expiry it is 70rs, what will be the impact in my account if i do not sell calculate profit loss of the put option deep contract?

Will i get the differential amount of Rs 25 minus the STT and brokerage? Thank you very much nithin. And I salute to your patience as you read many time same questions and you always give the answer according to the people. Thanks again Dear Nitin. Actually I was looking for this and now only I got very detailed information on this. I need otion ask a very basic question. I had sold bank nifty put Rs But if you have bought options and it is expiring in the money, then it makes sense to sell it in the market rather than holding it, because then you pay higher STT.

Sreejith Nothing that we can vouch for, but I guess best way to learn is to put calcylate very small capital in your trading account and give it a shot, you will learn in the process. SIR,Suppose i bought a call option and its price becomes 0 then will they be squared off automatically or will i still have those options and sell when the price increases.?

On the expiry day if it is 0 at closing, that would mean the option is worthless. All such worthless options are squared off automatically. Hi, just wondering, what is the time taken for settlement of OTM options that expire worthless, are they settled same o;tion by NSE? Are there any dfep charges incurred by us if we leave the shorted options calculare expire worthless? Also, on expiry day,i see lakhs of orders to buy significantly OTM options at 0.

If you are a person who has shorted and letting the options expire worthless, nothing extra you have to pay. The large amount of buy orders that you see are basically of people who are covering the options they have shorted. They would be covering their positions to free the margin blocked so that loxs can probably use that margin to rollover the position or use it for another trade. Thanks for enlightening us on applicability of STT for option trade during expiry.

In covered progit how margin money is calculated. Both the transactions are for same month expiry. Hence no loss occur od any upward movement beyond nifty points. How the margins will be calculated for these transactions. Sridaran We have a tool called SPAN calculator which helps you in calculating this. Read this blog on how to use. I have a basic question. If I buy 1 lot of nifty and if I dont square off before expiry, How it will be settled. Similarly If Proflt sell one lot of Nifty and if I dont square off profiit expiry.

How it will be settled. If you buy Nifty options and hold if till expiry, the price of option firstly gets adjusted to closing Nifty index price on the expiry day. If the buy options has any value to it, STT will go up as mentioned in the blog above, if the buy options has no value it gets expired worthless and no STT is applicable. As suggested last week market showed a very high positive trend by closing on last 3 years high.

We advised all the traders not toNSE BSE, INTRADAY STOCK TIPSbe overconfident in this market because we think correction is due. This is the best strategy that we can follow. Traders have to take a watch on the banking stock. Banking sector will decide the trend of the market. For further update you can visit our website.

BigProfitbuzz proven month after month that trading depe investing in stock market can be profitable whether market is bull or bear. Trader can also make a buy position in NIFTY stocks with stoploss to their capacity but try to buy at the prescribed Prorit level. Always keep stoploss with your trade. You can take our two days trial to check our accuracy.

For further update visit our website. Now they have covered their position. Now for a coming week we suggest all the traders to trade with a light quantity because market is in on its peak. It is very necessary forNSE BSE, STOCK TIPSNIFTY to show some consolidation for coming week. But one thing is totally confirm calculatd NIFTY has entered in a bullish trend. Nifty will definitely touch level very soon. So we advise all the trades to wait till consolidation to calculate profit loss of the put option deep then sit on the buy side to earn a good profit.

For further updates you can visit our website. I have a doubt in options. Say for example i am buying nifty call options and its premium is 50 and nifty is currntly trading at at my time of buying and at expiry day if nifty closes out of the money but my premium goes to 60 can i exercise this option? If Nifty closes at on expiry, the calls will be of zero value.

If I buy PE Nov series at 50 and nifty expires at with my PE atthen what will happen if I keep holding it and market closes at pm. Considering deeep Lot only, what will happen? Since it is exercised, it is considered as a delivery trade and STT is charged on the entire contract value 0. If you had sold it in the market at you would have paid an STT only on premium 0.

I have 2 questions :. Then after what will it show? Calcilate expiry is over and I also didnt exit my in-the-money option, calcu,ate is there anything other than STT to be worry about? You got it wrong. If you had sold the PE at Rs in the market ootion would have got Rs 10, and would have had only Rs 1. So additional cost of Rs for not selling it in the pprofit. Suppose i buy a CE 1 lot with premium of Rs Nifty is around Correct me if wrong Now if i hold the contract till the last day and let it be exercised considering it to be ITM.

What will be my net inflow on that day? Assume nifty to be on that day. Please ;rofit the detail calculation for brokerage charges, transaction charges, stamp duty, etc. If your long option is exercised, everything else remains the same, only STT would be 0. NIFTY expires at Say I bought one call strike price. But I didnt square off my position and let it expire so I have to pay excess STT of around approx amount as call is ITM.

Will they deduct excess from my trading account? On November 28, expiry day, Bank Nifty is showing out of the proflt, but it is closed at Rs. My doubt is, If I have purchased bank deeep options at Rupee 1. Will it be square off to RS. Please Advice on this. If you see the settlement price losz Bank nifty NOV it is see the future closing. Since the calculate profit loss of the put option deep is higher than all puts are Out of money even though the last traded price might be Since it is OTM it expires worthless zero and not 0.

Thanks for this post. It cleared many doubts about the options trading. But i still have some confusionif the bank nifty closed at then all the call options less then. If Bank nifty closes atall calls below 10, expire in the money which means they have some value. A call has a value ofa call has a value of and so on. If you let these options with value expire, you pay extra STT. Why does calls and calls show 0 is because there is no trading interest in such deep in the money options, and hence there will be no trades taking place.

GIVE ME AN EXAMPLE FOR THIS? You would typically see this scenario on the expiry day, and closer to 3. So if Nifty is atDeeo calls and Nifty puts ideally should have minimum value of Rs 50 each, but you might see both trading at The reason for them trading at 46 would be because of the cost of STT, if the position is held proft 3. Somebody fooled me to by south bank put option on expiry for. I have invested huge amount on that. Can any one help me calculate profit loss of the put option deep how to understand this?

Anything I can get back on my investment? It depends on what strike put option you bought, and what price the stock closed prrofit. If the stock closed above the strike price, it would have expired worthless. On expiry if lkss is at and you are holding calls, that means that your option is in the money by Rs If you hold it after 3. Thank you Nitin pput reply, but i have still little confusion… I sell nifty option and at expiry it will become zero as i heard, and on selling i revived while selling.

You say i receive rs. If you sell option, when you sell Rs is credited calculate profit loss of the put option deep you for the option shorted. If Puh expires atTbe 25 is taken back from the Rsso you making a net profit of Rs Is it a good idea to short options? The odds of winning go up significantly when you short options, compared to buying options. But what has to be remembered with shorting options is that the profits are limited, whereas the risk is unlimited.

In the days end bank nifty is closed at But the last traded price for bank nifty is 40 rs. So what is my profit? Assuming if falculate had bought this as NRML, and held the option buy position overnight, potion profit will be the price above Iption 20 that you sell tomorrow. If there are no buyers, all options today in India are European. What this means is that you will be forced to wait till a buyer comes buy or hold this till expiry day. On expiry day, if bank nifty is aboveyou get how much ever above credited to you, and if below you loose the entire premium.

I am new to this site and found the informations very useful. YESBANK 26Dec PE If you bought at 0. If Yes bank goes up, your put value will drop from 0. On the day of expiry, if the option that you calculate profit loss of the put option deep purchased is Out of the money then they expire worthless. STT will be 0. Yes in your example also you will pay only 0. Mujhe koi btaye ki agar me koi share 2. The Inter cost voucher is an internal posting we do on the books of accounts.

It does not effect your ledger in any way. To explain, assuming od have a balance of Rs. In case you place a withdrawal for Rs. Hi am Arun, sir i have bough an call option aclculate strike price Rs. So it is always best to sell it on the exchange rather than letting expire, if you are holding in the money options. First of all losx should thank you a tonne for this more than useful piece of article.

I just lost yesterday on account of this STT and got the bill for the same. I bought BankNifty strike Call lots quantity Rs 3. After closing hours, It got sold 4. I just incurred such a huge loss capculate of lack of knowledge on STT Charge on Expiry day for an unsold Call option. I hope this article of yours reaches to many traders like me before they lose their money to the Govt.

I just have one query…is there any chance i can recover this STT amount of appx Rs ? Thank you for the reply. But dont i need to pay brokerage and other charges. If yes then how will you calculate that? Do i need lut pay additional progit charges for selling the underlying after exercise? I would appreciate if you can show the calculation. Brokerage and other charges remain the same, so for example at Zerodha we charge Dedp 20 per irrespective of your size, so if you calculafe the brokerage will remain the same, similarly all the other charges that you pay, except for STT which will be how much I mentioned.

Kindly suggest so that proflt can take proper decision knowing the expiry scenario. Natesh, yeah stock options get illiquid when market moves away from the strike price. All options in India are cash settled with respect to the underlying, what I mean to say is that, if on the expiry day HDIL closes at80 calls will settle at Rs 40 calculzte you will get back minus all deductions. Nice article, cleared many of my doubts regarding options. I have a query deep.

What if I sell options near expiry which are relatively out of money and let them expire? Expires worthless, so you get to keep the entire premium that you received when you shorted. No additional costs or brokerage. Options will expire at Rsthis has to be paid back to the option buyer Rs per lot. You will have to pay the normal brokerage and exchange charges, but no additional STT charges as such.

Prpfit checked with customer support, they asked me to put an buy order and the exchange will buy it at premium. Such issues do happen with stock options, so basically all such ITM options are cash settled after expiry. When you had shorted you optin have received xeep x amount of calcuoate, the difference between that and Market Today ended deep Nifty — Today i buy — Nifty Call Option Aug Contract of Strike for Rs.

Also, please explain the process of Excercising the deepp on expiry…. Calculate profit loss of the put option deep 1: Yes you can just wait it out to expire if liquidity dries up. Im even Planning a Net straddle trade…. Yash, guess that you are not trading with us Zerodhawe allow you to trade on all contracts. Use our SPAN calculator to check for how much your margin reduces by. But this margin may not be same calculat all brokers.

Today i tried selling Shorting a Deep ITM Distant Option… as a part of my hedging strategy. Wonderful effort and time on your part to educate the traders. I read the blog post, but i have to say i am confused. Permit me to summarize what i understood: 2. If an option that is short and if bought back would attract 0. On the day of expiry, an option that is supposed have an value of say, 50 is going for The reason stated is STT poss is being factored in and hence they are going for discount.

The STT tax that is being factored in: Is it the same STT tax that would be levied calculate profit loss of the put option deep the option is left unexercised? If you sell on the exchange, you will get atleast 0. Hence it is advisable to usually sell all long options on the market. Exchange as my Broker Zerodha told me, even the Script was trading at that time trading.

LATER EXCHANGE CHARGED ME a huge amount of Rs. Approx as STT. Exchange system not accepted the order it is not a fault of Customer these are European options there is no movement hte underlying security, ptofit is just a cash settlement then why such a huge charge, NSE should not charge this much amount as STT for IN THE PENNIES ITP option. Yep we have already approached, the logic here being that an exercised option is considered as a delivery trade, be it just ITM or deep ITM.

That will effect everyone who trades derivatives. I bought PE 1lot I had a problem today. After Pm,The scrip has been vanished from my market watch Nse now mobile app and I could not add it again. Optioh not only this optionsbut the Optjon month futures I was puy also disappeared from market watch after PM. This is not the first time I see this. The last time i observed it however there was no impact as upt dont have positions at that time. All people might not notice it as its happening after screen change, For ex.

If i am watching market watch and didnt do anything ,the quotes will show up. How ever if i Hhe or change the calculate profit loss of the put option deep the another market watch and return to this screen, all present month are disappearing. Infact czlculate started around 3 PM. I could add it again However when we refresh the screen or add another scrip the screen will refresh calculate profit loss of the put option deep disappears again. Hi Nithin Took the Above from the Gist mentioned in Your ArticleYou Have mentioned as ZERO Value But All the Options Expire As.

Nitesh, an option might trade at 0. Many people like to exit options which are worthless, because it will free up margins which they might need to take fresh positions for the next series. If you have bought JP Asso 75 calls, and JP associates stock price at 75 or lesser, your option expires worthless. If JP associates expires anything over 75, the 75 calls now become in the money.

If you have bought this option, this is when the STT shoots up, but if you are someone who has shorted this option you still have nothing to worry. U have nothing to worry, Coal India closed at So you get to keep the entire Rs 6 as profits. Very nicely explained article it will be helpful for the traders, trading in options as a buyer. I am new to this post i will be very thankful to you if you answer my query.

Once I bought an in the money call option of jpassociates lot size 6. But as soon as I became a seller and other side there must be a new buyer as i think so because if the old seller buys squares off it the open interest becomes 0. Can you explain me the reason behind this. If you can it will be a great help to me. Note : i bought CE 6. Step 1 : Mr. A sold and I bought so OI would be but it was 0. Step 2 : Now I sold and Mr. B bought so OI would be and it was In my view first 2 steps teh present there on that day 3rd step was absent because after closing the market OI was I held my position for nearly 4 hrs.

You are correct, if you had an open position, there should be an open interest. Suppose nifty is currently trading at I predict the market to go up to Lrofit, if Nifty is currently at and if you are buying a Call, it is In the money and not out. This option will be trading minimum at Rs Out of the money would be calls. Assuming you bought calls at 50 and did nothing and market reachedyou calculaye points.

Investment isreturn is you are buying proit lot, edep you need to multiply by 25your net return is Thanks for the correction Nitin …. I want to ask simple question for STT on expiry day. Below is the situation. At as per MIS my position gets square off. Will it be square off or i still need to pay STT in that case. In which case, yeah you will have to pay higher STT profiy case the options expire in the money. So if you are trading them, you are okay.

Thanks for great post. Can I post this article on my website as It is giving you the full credentials. Thanks for this kind of forum to educate people, I really appreciate if u just answer my query. There is no risk of higher STT. Dear Nithin calcullate for reply but my main motive here is to know whether i will get whole liss the premium that i sold earlier on expiry without even buying it. Manoj Loss, you get the entire premium, check this post. I have bought HUL JAN CE 6.

So you have bought CE 6, so if HUL closes atyour CE would be valued at This money you will receive from the person who had shorted the option. Recently I observed once, Zerodha network server going doing down while I was trading at the day end. Assume I bought Nifty pe,quantity at 0. In this scenarios I will be in loss of.

So, how you going to handle this instance? As it is not a mistake from my side!! I am happy with Zerodha platform. Above scenario is an imagination, I was just curious to know how you can sort out such things! And what is my Profit or Return?? Not able porfit figure out what los are asking. I want to know is stt applicable for currency options and futures…. Check this Deepak, all your charges are mentioned on this. If a bought option expires in ITMIS it mandatory to exercise the option.

In my opinion Option means I have an option to exercise or not. If the difference is negligibleto prevent STT payment can I opt not to exercise the option, thw it is in profit side. Vipin you can sell the ITM option in the market anytime before 3. But deep you end caldulate holding it after market closing, it automatically gets exercised as it is the last day of expiry. I bought 1 lot nos of PE of Optionn at 5 Rs. At Expiry, SBIN closes at Rs. Since there dsep no buyer, I was not able to sell my holding before expiry.

And if this was CE instead of PE and if SBIN had closed at on Expiry, then how much will the STT payment be? Finally Bhel LTP was Just wanted to confirm that it happens on LTP There were still buyers 2. Ot futures and options on the expiry day will get settled based on the closing price of the underlying. The closing price of BHEL is weighted average of the last 30mins price. So the ltp and close price might be completely different, but all buyers and sellers will be trying to place orders thf on the expected closing price.

No Mr Gupta, this is not possible. All JAN positions would have been settled on the expiry day in Jan. If you are trading at Zerodha, send an email to support zerodha. I just want some clarification on this. Suppose I buy a call option of XYZ company with Strike Llss and Spot Sprice of at 5Rs. Now on the last thursday the Spot Price rised to Losx will be the premium price optioj the Call option. Viral, on last thursday it will be 0 if you held these optuon until close.

Consider nifty is at on 25 June expiry dayi short PE of and short CE of at a premium of Profir 30 and 40 respectively. Second, what is they both closed at 0 and since i short them, is it necessary to buy them again? No it is not compulsory. No not required to buy back. You can just let it expire worthless. SK, whatever is the value which glenmark closes below will be the value of your option.

So if Glenmark closes atyour puts will close If you let it dewp, and not square off, STT calculate profit loss of the put option deep be charged at 0. But after settlement NIFTY closed at I was asked by my broker to pay Rs as STT. THEN WHY SHOULD THE BUYER PAY STT ON THE OPTIONS HE HAS NOT EXERCISED? AN OPTION BUYER HAS THE RIGHT Optkon SELL OR EXERCISE THE OPTION BUT NOT OBLIGATED TO EXERCISE OR SELL. Looking at the higher STT you have paid, looks like these were option contracts that you let expire in the money.

Like the blog post explains, the STT can be quite high in such cases. Please refer to my previous post of having protit pay Rs STT on contracts of NIFTY PE expired ITM optipn trading hours at on 25 June Will I have a legal standing on the grounds that the buyer of an option contract is NOT OBLIGATED TO SELL OR EXERCISE his option? A buyer of an option pays a premium like we pay an advance amount to buy an asset at a later point in time. If one does not exercise the option the advance amount paid is forfeited.

Joe I have short sold one lot of Ths PE premium Rs. Today the premium is Rs. The loss is Rs. If I do not square off the trade and if the nifty will close spot at It is a standard weighted average formula. But it will be olss tough for you to calculate this on your own, as that would mean having to capture all the trades done during that time. Suppose I have an option and it is deep out of the money.

So obviously it is going to expire worthless and as you mentioned no STT will be iption on it. But will brokerage be charged by my broker ICICI Direct for letting it expire worthless? Please answer asap as expiry is tomorrow. On expiry day last Thursday of the monthdo MIS options get squared-off at pm? I understand that on other days, these orders automatically get squared-off at pm; however I am not sure if it works the same way on expiry day as well.

Sir, Proift am small retail trader, today i bought Nifty Aug Proflt qty and I squared off two times. But it is not squared off and the option is in the money. The STT is levied and is paid to the Government. I squared off two times through admin position but it was rejected. Now they say i have to square off every time. Nithin sir please reply Anand, exchanges keep changing limit for maximum lots that can be placed in a single order.

Currently it is or 40 lots for Nifty. It is different for every scrip, these are things that every derivative trader has to keep in mind. Also when you place square off using admin position, you have to wait till the net position becomes 0, otherwise it indicates that you have pending quantity. Sir, if I place individual order, qty is OK.

But I used square off at market price through admin position…but that square order get rejected because qty exceed more than Whether square off also every time we have to partially… Yes anand, when you square ooss, an order with that quantity is sent to the exchange. If the quantity is bigger than maximum order size set by exchange it will get rejected. So yeah, if you are squaring off from admin position, you will have to do it partially if quantity is more than I bought Nifty PE Aug 15 0.

Seeing the contract not I got shocked that the STT was Rs. Nithinji, I same doing like vijay do. I bought PE 1. Why this heavy STT. RB, it is explained in the post above. We do our best as Zerodha to educate by putting up these posts, and also sending out messages on terminals to ensure squaring off in the money options on expiry day. Nithinji, Yes i Know Zerodha is best, I use it last more than 4 years. But i Want to knowwhat is caitaria to calculate this STT panelty or charges whatever it is, can you inform me on this calclate where i get information on this????

Would the value of the put be 0? I am one of happy client of Zerodha. If Nifty expires at at last thursday of opption then also put value czlculate at that time would be 0. But to sell put in such violent times is bit risky, for eg. Hope i am answering your question right here. If Nifty closes aboveyeah the value of put will be 0. STT is charged by the govt and is fixed at 0.

I understand what you are saying… I am just trying to implement a strategy… hope it works…: 2 I optlon 2 out of the money TCS call covered calls and get the premium in my account. What happens if held till expiry? When you short options or trade futures using the pledged margin, it is best to Option trading simulator software and 98 STOCK EXCHANGE some extra cash for any MTM losses.

If the call moves ITM, the margin o will go up. But if you are pledging shares and shorting only call options, there is no need to worry about it as you profitt have a lot of free margin. If on expiry the call option closes more than the price at profkt you have shorted, that much of loss will be debited to your account. If it is lower than what you have shorted, the margin frees up and you would be still in profit.

No need to worry about any extra STT or charges. Yep nothing to do, no more charges. The next day the call moves up to Rs. How is this Calcculate handled? Unlike futures MTM is not directly proportional to your losses. When you short options, the margin blocked goes up if the position goes against you. There is no direct math, you can check our span calculator daily to get a hang of this. Yes on expiry if there is a net loss, the calculaye will be sold.

So it is best to keep some cash as buffer. I had shorted Nifty CE at Premium shows on your ledger the same day day you shorted the option. Question: suppose I bought put option of company X as below. Strike price : I did not sell my options, and let is exercised. Is trade is in profit or loss? So there was a corporate action like stock split or bonus or something like that. Assuming there was stock split, share price will drop to instead of 1 share atu have 2 shares at So all strike prices will also reduce on that day.

New strike price will be So instead of quantity short at 20 of putsyou will have short puts at Rs 10 of puts. Since stock is atyou make the entire Rs as profits x 10 Hi Nithin. I understand that there is no STT on currency options. However, if I let some ITM option of say value. Are you od to my query on currency options for the ITM options at expiry? Do you represent Zerodha? Llss Yes Venu optiin our compliance. Since there is optlon STT, the only thing you will pay on expired options is the exchange transaction charges which is 0.

Nice committed effort from you towards cust service, by the way. I have a query on extra STT charges in my account. I had bought and sold shares of NMDC price under rs. So maximum STT charged should be about rs. I had traded in no other stock in equity other than calculatw stock till date. Can you please explain such discrepancies? Also I am seeing STT losss on buying equities also at 0.

Thanks and best regards, — Jay Jay, on equity delivery it is 0. If any intraday equity done, then it is 0. If there is still a mismatch, send an email to support zerodha. Suppose I sold one lot of Nifty CE at premium 15, and at the expiry nifty was atI let my option to exercised. Not at expiry premium will become 0, So what will happen to my trade? Am I in profit? When you short option, the maximum profit is Rs So if Nifty closes belowyour maximum profit will be these 15 points Rs 15 x25 per lot.

STT in theory should be zero?. Thank you Nitin for your prompt reply. As that would mean on each transaction, STT is being charged on both parties. So in other words, If I buy and sell a security, I pay STT twice already and on top of that my counterpart investor also pays STT twice again on behalf of this same event. So in other words, a single buy and sell transaction will let the Govt to charge 4 times STT from both parties? Such profjt policy would run against principles of natural justice for any policy, govt or otherwise.

I am not legal professional but if one could find a good attorney to take on the big Govt losers, I am sure we got a case here. For all delivery transactions STT levied is 0. STT does act as a major deterrent for the market participants but then its a charge set by the Govt. There have been several representations made to abolish STT but no major steps have been initiated by the Govt.

Recently BSE has proposed provit the authorities to replace STT with LTCG. Yeah, Index options are mostly cash settled. Even though no trading is taking place and market is closed. Also the site leaves a lot to be desired such as being beta producthaving a poor interface etc. Not a sucker for cosmetics but Optoin appeal to you to at least give highest priority to keep the numbers right, have additional backup servers and infrastructure etc. Thanks and with best wishes — Jay Dear Nitin, If i hold Nifty futures till expiry at what price will it get dalculate LTP of index or closing pption of index or weighted close of optlon in last 30 min?

On the day of expiry if the futures contract is at a premium of say points will the premium disappear? Gaurav Exchange will calculate pu settlement price based on the weighted average of the last 30 mins. Typically on an Expiry day Futures price will reconcile with the Spot price. Thanks a lot for the clarification.

Gaurav Also all brokerages including zerodha loans out our equity shares and it aids the big houses to short the market and make money in options market as well. You brokerages make money loaning our equity out and they make money by shorting the underlying and selling option premiums. All the real time data including calcuate time open interest data is not provided and has access to this data only for rich fund houses and brokerages which are well connected to NSE and the policies of SEBI are putt geared towards fleecing the retail investor of modest means like the recent hiking of option lot size supposedly to protect small investor, but we know it only favours the big money by doubling or tripling the cost of taking each position which does not effect big money because they take large positionsI can name hundreds of policies that are geared towards parting the small investor from his hard earned money.

But if you are trading at Zerodha, once a stock hits your demat account, it calcklate never debited until you place a sell order. By real time I mean updating within a few minutes at a time not exactly on a per minute basis. If so, what would you recommend to get fastest news on earnings, profti announcements. Your new Zerodha plus is just aggregator and it gets news from second hand media channels such as NDTV profit etc.

You may have out get in touch with 3rd party vendors who provide such facilities. I have one very basic doubt. I write an put option at strike at premium So what happens as and when premium moves up or down. Do the buyer calculate profit loss of the put option deep the option of squaring it off and will i be assigned in that case? How will it affect the option writer if premium moves up and downbut spot never goes below strike until expiry.?

When premium moves up, as an option writer u r losing money. Automatically the margin required to hold this short option goes up. The buyer can just go out and square off his calculate profit loss of the put option deep by selling on the market. Premium is directly proportional to how the spot will move, so technically not possible that premium will move up but spot never goes below strike. I read your blog and the module 5 of option trading and found it quite impressive.

I want to carry out my first trade but i have two questions. I want to short a OTM call for this month expiry at NIFTYand will square off it with buying it back on the expiry day. I calculated with the zerodha SPAN that showed me around 37 thousand rupees would be blocked. Thanks 1 Yes, when you square off our positions, the margin blocked for having written such options will be released.

If the settlement price is belowoption will be out-of-the-money and it would have expired worthless. If i sold an option, if i dont buy it back and the option expire worthless when will the margin rpofit be credited back. Or is it necessary that i have to square off the sold position even though it is going to expire worthless. If you square off, it is still credited next day, but you will have margin to use for other trades. Or is there a minimum amount of lots that need to written?

Need clarification on: How do we trade on this, means on premium value or Index value or futures value? What will happen if close my position before expiry with the following values. On expiry if it closes atyour profit would be Loss total premium Loss. If I do short selling of nifty and wait till expiry date until its value becomes zero. At the value zero. Or it will get auto squared off.

What will the final amount i will receive any profit!! You will receive gross 0. But STT on this will be 0. So you will probably net get around Rs I had a call option of axis bank strike price bought a rs 5. I let it expire today the i. The closing price of the stock in cash is On which price my position will be settled calculatd the exchange. Claculate let me know… All options are settled based on close of underlying. So you will get back Rs 4. Thanks for the nice write up. I have a doubt.

Upon expiry say nifty is trading atthe premium of nifty ;rofit should shoot up right? But as there is no time value will the call option reach to zero? The Intrinsic value of a CE when Nifty is at iswhich means CE prlfit be trading at calculate profit loss of the put option deep minimum price of Rs. I have read the varsity material but a little bit confused here as I did not have the practical experience. What if I sell OTM call Rs 0.

What will b my profit or loss or any charges that may attracts? If the contract expires worthless, you profit would be the entire x 0. For example I sell an option as normal order for desp. What drep be my buy value during settlement is it 0 or 0. What if there is no buyer for Option on the Expiry Day. That is the calcylate of yhe options.

All positions are compulsorily exercised. So whoever sold the option to you, has to compulsorily buy back at the settlement price. I had bought 10 Lots of Nifty May Ce today 2. When i had coordinated with your executive in evening it said that your position was squared off 3. Can someone please clear everything at earliest. DS Max this question was not deleted, Puy had missed answering. Firstly profig the post above explains, STT on exercised options is much more. If there is any account prlfit queries, you need to veep it to support zerodha.

I bought a Nifty May PE lot but couldnt sell it today Expiry Date so what is pt solution??? O want to ask if we buy or sell any currncy any sm specifie price can we hold on the currancy till its expiry date. I exit before closing the market but still high amount of Stt charges debited. Please, could you clarify it for me. Calculahe options, STT will become higher if Rcom closes above What would be the STT, already explained in the post above.

How to roll a future position in feep futures and nifty futures. Sounds fancy, but that is how simple it is. As i am short in rcom call option therefore i have already paid stt and there is calcullate stt on buying side and if rcom call closes in the money even then i have to pay stt on not squaring it? And on the day of expiry, nifty ends at But, I dont square off my position wat happens? What is the penalty? When does my blocked margin money get released?

What is my profit? There prrofit no penalty, your put expires worthless or at zero. The margin gets released end of the day, and you get to keep all the premium you had received when shorting the option. Enstire Rs x 75 per lot is profit. Hi Nithin, my question is that what happens in below scenario. On expiry day spot value for Union Bank is proofit So how much loss I will make If I let expire my option writing.

Or will I make profit as settled price is 0. If you short PE and market closes at Since you had received Rs 2 when shorting, your net loss will be Rs 2. In case instead of writing the PE, if I have bought the PE for Rs 2 and let it expire and on expiry day close price for PE option is Rs 3. So how much profit I will make. Will it be same as loss calculation as I understand that STT will be more If I let it expire. Just confused with close price shown as Rs 3. If you sold the option contract at 3.

You would make a loss of Rs. All options are settled based on close of the underlying stock price. So if stock closes at Since you have bought it at 2, you make a profit of Rs 2. You can use our brokerage calculator. STT will increase if you let the option expire after 3. Do go through the post above. The call was closed at my buy price 8. On expiry caldulate Since you let the in the money options expire, the STT as explained in the post above would be much higher.

Is there any rule that all otm option will expire worthless 0 at pm on expiry date? But my question is slight different. If he would have sold it at index value before the expiry pprofit would be his suffered loss without coming in this STT Trap what if someone has sold in the money option…like for e. If stock closes atput will close at 10, causing you a Rs 2 loss. On Aug 25, p last trading price is Theoretically would i have a good profit if i would have shorted it in the last minute without covering and pocketed the difference of Opfion I have purchased banknifty put options 01sept expiry at rs 5, 8 lots but i did not square off.

Now what will happen? How to escape from paying stt since I gave payout but amount is not yet credited to my account? I am copying below the excerpts from NSE Website. As per the Finance Actand modified by Finance Act 18 of STT on the transactions executed on the Exchange shall be as under:. So if i let my ITM LONG CALL OPTION expire on expiration date calcuoate why i would need to pay the STT 0.

I would appreciate your views on this. So when the option expires in the money, it is assumed that the actual exchange of the underlying contract happens. Since this is a delivery trade, STT is applicable at delivery hte and on the entire contract value. STT rates dropped loas delivery of equity from 0. If you bought put and market expires at any price abovethe option expires at 0. You lose all the money, since it expires worthless nothing to pay.

Have a doubt on the settlement price considered at the time of option expiry? Is it the last traded price or the closing price which is calculated as avg of the last half an hour before closing. Axis bank Last traded price as on 29Sep Expiry is but Yhe Price is shown as I had sold a Put with as strike. So at expiry, is the calculte in the money or out of the money.

And some brokers charge only Rs per trade any amount of transaction size. My query is that how much broker can charge upt brokerage for options. Am I right that on expiry day, only ITM options has a value and all ATM and OTM options have Rs. I have bought 10 lots of PE for Oct expiry 1. Since, the price was falling and to average the same out I bought another 20 lots 0. Now my average Buy Price has become Rs.

Assume, the deepp for PE is currently trading 0. Questions: What would happen if on the day of expiry the premium is trading at Rs 0. Gaurav, it is not sensible to buy such deep out of the money options. For PE Oct to make money, the nifty index has to drop below before expiry 2 days from now. Assuming Nifty does fall and options expire in the money, this will be considered as an exercised option. You will end up paying much higher STT as mentioned in the post calcu,ate.

So you should sell it in the market instead of letting it expire. But, what if Nifty holds around on the day of expiry and i puh all my open positions expire. Cxlculate would i still be required to pay higher STT? Just a quick question I holding arvind call and it expires at zero but I did dfep square off. Will I be charged an stt for the same. I have Auropharma October Futures. I let them expire did not sell it explicitly.

Will I be charged STT when the position gets settled? How is the settlement price calculated in this case. How about Deep in the money option, I bought Banknifty Call Option atBankifty close on expiry at What would be my profit. Please share the calculator or calcuate to calculate. You will just have to add additional STT as mentioned in the post above.

In this case 0. I forgot to sell crude oil nov future on Best to send such account specific queries to support zerodha. I calcupate doubt that suppose stike price put value is and nifty is running at There was no buyer…Until expiry what to do, that was not traded…How to exit? Does exchange charge any charges stt, transaction charges or putt duty prodit futures on expiry day, if i let the futures expire without actually squaring rhe As per my knowledge, there are no charges.

Dec Nifty expires above most likely That means, the option expires OTM and so worthless. Dec Nifty expires below unlikely, possible That means, the option expires ITM with some intrinsic value. My understanding regarding the STT in the above two cases is as follows: When I wrote sold the option, I have already paid the STT on the premium amount. I do not have to expressly square-off buy the position before expiry, as long as I am convinced that the Nifty will expire profitably for me.

Of course, I can always buy deeo before expiry, which is recommended, but that is a different matter. On expiry, the difference between sell premium and final premium will o credited to my trading account, and the margin amount blocked will be release. Might have already been answered in the above article, but too dumb to figure it out……. Additional STT gets levied only when the buyer of the option lets an ITM expire.

Wishing you too a Merry Christmas and pgofit great new year to come. One related query: If Lows let the option expire prfit expressly squaring it, will Zerodha still charge the brokerage of Rs. I found a statement from Mr. Nithin Kamath, on August 26 in reply to a query from Mr. Ooss Kamath also on October 1,in reply to a query from Mr. Has something changed subsequently? Would like to get this clarity. In case the theoretical value of the ITM option is 50 and the price on exchange is 45, then at expiry, if the seller lets the options expire, will he have to pay 50 or 45 to the option buyer?

I am bit worried and calcukate to know 1. What if there are no buyers say when the underlying price of the stock is trading at rs. Will zerodha exercise it on my behalf with some commission? I understand if the underlying stock is trading above All options that trade in the Indian markets today are of Europeran type which means that they can only be exercised upon expiry, not prior to that. If the stock is trading atyour option has an valculate value of Rs.

If the stock closes above I bought Nifty option as below please let me know what will be the STT. Contract Buy Price QTY Date. Nifty Put 7. Nifty Put 0. Total I have Nifty Put 2. Please let me know what will be the STT If Nifty has closed atPuts are OTM Out of the money. I bought 20 lots Bank Nifty put options. But the provinal clossing is 30 point down. Please ;rofit that what can I do in such conditions………. Pkt am pu to Options Trading.

I have just started to understand the concepts. I have learned about Covered Call and Put. Low risk trading strategy is to sell Put option at points down the current value and Call option at points above the current value and allow it to expire. And as per this blog of yours the STT will not be charged since for Buy Back there is no STT.

I have a fundamental doubt on what will happen to the Call options that are points down the current value during the expiry date. For example today the current value is optiom, If I sold a lot of CE today and wait till the Expiry date, will the option expire to Zero or the Last Traded Price? Deena, if today is the expiry lows and Nifty closes today atCE will have a value of Rs If we write optionswill they all expire at 0 even if the underlying stock reep does not touch the Strike price or approach the strike price?

I have sufficient margin for the trade. Hope your doing good. I needed 2 min chart calculate profit loss of the put option deep in the tool. Can you please help in upgrading to the 2 min. As it help people like me who are daily income producers in stock market. Thanks Nitihin for the information.

I had bought a single lot of NiftyJAN CE 75 a lot. If you square it off before 3. Can anyone exercise options in the money prior to the expiry at EOD? If someone has written options and on the expiry day, it is Prorit of the money — would the STT still be charged? In other words, are out of the money options exercised? All options that trade in the Indian markets are European type which means they can be exercised only upon expiry.

No, OTM expire worthless. In May beginning you decide that shares in X Ltd. The current price is Rs and you hope that the shares will be at Rs. Give your comments if the Option is traded and if the option is not traded. Had a great loss due to STT!!! Learning with great price paid. Such a wonderful blog, coming top on google search, worth reading!!! Have you checked NSE option chain. Hi, I have just a basic question. Depends on where Banknifty closes on expiry day. You will make profit only if it closes above Now its closes STT if your option closes below will be as explained in post above.

If Nifty closes above your option has no value. The expiry is 10 days away and the option will be in the money. To square off the premium is now 0. Is it safe to wait till expiry — I will receive the premium as I was short on it and then the difference on premium I pay. I am asking this because I feel I buy the option now to square off I will loose the premium. Otpion what abt the option —. Should I let the option expire and then collect the premium and they pay off the difference or.

Square it off before the maturity. This is a market call you have to make. If you believe dollar will fall further, you square off your position, but if you feel it will go back up higher you hold. Holding till expiry would mean you taking a market risk until then. Suggest you to read up about options properly before starting active trading. If I short out calculate profit loss of the put option deep money option and it remains out of money till expiry and if I do not cover the position till the end: 1.

The option would expire worthless exactly 0 and not at 0. There will not be any extra STT applied in this case. There will not be any brokerage on the second part of the trade, that is, covering the position. The above 3 points will hold true even if I buy and out of money option and let it expire out of money. It depends where market closes. If it closes atthen yeah worthless, nothing needs to be ghe. Settlement Price of options on exercise.

Closing price of such underlying security or index on the last trading day of the options contract. It is clear proit the settlement price of options contracts is defp as above. As per the above definition the holders of ITM options contracts on expiry should be exercise settled with the closing price of the underlying index or stock! We have been doing whatever possible to make sure this is heard. Do check this petition. I highly appreciate your efforts. Maybe, even this is an understatement.

I missed mentioning this point earlier. I had also signed the profkt earlier. Kindly note that what I am saying now is NEW, very NEW, and with this and your great help this problem would be solved. I request you to please read this carefully. Anyone would note that this is the settlement price of Futures and certainly not Options! In the example of the stt petition. Options Contract Nifty CE.

Closing Price of the underlying Settlement Valuex If dsep goes by the NSE definition of settlement price, Calculatee should pay this Cr to the options contract holder in this example! So that proves o;tion settlement price definition is incorrect. How is the STT related to all this? To be fair, NSE should correct this, and reimburse the excess STT collected due to its error. I do hope this is clear now, and request your great help to kindly take it up with NSE and solve this anamoly.

Sure, the govt takes the STT. But the STT is being charged on the wrong amount. STT needs to be charged on the settlement price. The settlement price in the lose example is only Rs. But the STT is charged on Thanks to Zerodha for giving this valuable information. I did not sell but I let it expire. What to do now? Will I get charged now Nithin what happens if I sell a covered call on a stock that I own and the call option expires in the money?

If I optioj the broker to call away my stock instead of buying back the call option, will STT be charged on the sale of my stock? In ot covered call, you would have short the call option, and hence paid STT already. So there is no need for you to worry about paying higher STT. This above post is applicable only for buyer of options who hold on to in the money options on expiry.

Tthe if call option is deep in the money? Say I am holding 25 lots of Bank nifty or qty. I have 60 points, but in market it will be at Selling it at 35 or letting it expire, both are same right? Yes the market would be factoring in the STT cost and will be trading at a discount to the theoretical value. Selling in the market at 35 or letting it expire at 60 will work out to be the same.

What you need to ensure is when options are expiring just in the money, for example if Bank nifty closes at sayyour intrinsic value is only Rs 5, but STT cost is 20 points. This can cause much more losses than the option premium value. What exact time optiin Weekly Bank Nifty Expiry. I mean, which price consider as expired, 1 LTP of Bank Nifty Spot at 3. In such a case, is it mandatory to square off the trade to gain on the STT?

Can the option writer gain the value even if he lets the exchange do the settlement? The additional STT here is for buyers of options who let their options expire ITM. You did not understand my question. I knew that STT is only while selling options. If the exchange does that at theoretical price based on the closing price of optionn underlying index, the writer would rather gain by squaring off the order himself rather than leaving it to the exchange.

Yes, if you leave the position to expire, the settlement happens provit the theoretical price of Nifty computed based on last 30 minutes weighted average. If I sell an ITM option contract, the traded value closer to expiry will calcu,ate less than the intrinsic value due to STT. Assume that I Optiom 1 lot of SBIN Feb Call kption at On expiry day, the underlying Close price both Spot and Future is If I do not manually square-off my position on SBIN Call option and let it expire no extra STT since I have already paid STT while Shortingthen it should expire at However, when I see historical data on NSE website on expiry day, the Close price is I would assume that it should expire at Closing price of underlying minus Strike price of the option.

Amit, all options are dwep to underlying stock price close on expiry day. Closing on expiry day is last 30 mins average price. So the Last traded price and closing price could be different. It means that in the money option that gets exercised automatically based on underlying stock price calcultae and not the Closing price of the option — which weighted average of last 30 minutes of trade. In the above example:.

Short SBIN CE at Closing price of underlying on expiry — All the options that are in the money are automatically exercised on expiry day. Do they automatically get exercised at pm by Zerodha or at pm? Note that the value of option and underlying would be different at these two times. In case the liquidity dries up for deep in the money options, I would prefer to have the option get exercised automatically at pm rather than some random price at pm.

When the option is automatically exercised by the exchange on expiry day after pmZerodha does not charge any brokerage and there is no STT as well for Short positions. Can you confirm if other charges like Transaction Charge, Service Tax, SEBI turnover charge and Stamp Duty applied in this case? Yes, all charges including Transaction charges are charged. Your 35 CE will be worth Rs 5. But you will be charged STT at 0. Kindly provide me the STT calculation incase I had not squared off ITM but allowed it to exercise Situation: Purchased Bank Nifty PE units 0.

At PM the price of PE is at 0. Kindly provide me the calculation of the STT in this case as I did not sell the PE ITM as it was at 0. The rate was set at 0. STT was originally introduced in by the then Finance Minister, P. Chidambaram to stop tax avoidance of capital gains tax. From reading this article, it appears that one should exercise the call or put option before expiry else there will be a huge implication of STT if you are ITM.

MY question is what happens if i want to sell my ITM optoin option and I Place an order and it does not get executed till expiry? Do I need to pay the STT here? Is there a way that I can compulsorily sell my tje option. If you pending order does not get executed, you still run the risk of being charged high STT. You can place a market order to exit your option to ensure no positions are left open. How does STT work in lloss of Equity Delivery?

I am calculatd new customer and only do Equity Delivery and very rarely IntraDay. Charting, Coding and Backtesting. Zerodha Trader — Charting. Zerodha Trader- Software Fhe. Zerodha — 60 Day Challenge. Winners calculate profit loss of the put option deep 60 day challenge. Zerodha in News — Headlines. Zerodha in News — Quotes. STT Trap — Options Expiry — NSE BSE MCX-SX. Why do options trade at lesser than theoretical value on the last day of expiry?

Why is it important to square off ITM in the money options rather than let them expire on the expiry day? Many of us would have had the following 2 questions or faced similar scenarios at some point of our trading career. Nifty is trading claculate and today is the day of expiry. At around PM, Nifty calls and puts are trading at around Rs Ideally it should be at least 50, so why? I had bought Nifty calls and Nifty closed at on expiry day.

The seeming anomaly in the price or the extra debit in the above scenarios is because of how STT Security Transaction Tax is considered for options that are exercised. STT on BUY option positions that get exercised is 0. With this knowledge the above 2 scenarios will suddenly start making sense. So a Nifty call which should be at least 50 if Nifty is around will be at 45, because everyone trading is factoring in the fact that STT will be much higher if the option is held till the end of that day.

Optioon with the puts as well. You had calls thd Nifty futures closed on expiry at So net, instead of receiving Rsyou will now end up having to pay Rs In gist, on expiry day. If you see options which seem to be cheap trading lesser than theoretical valuedo consider the fact ca,culate it is so because of higher STT and will not magically correct before the end of the day. June 17, at pm.

June 18, at am. April 27, at pm. April 28, at am. February 23, at pm. March 29, at am. April 7, at pm. April 8, opgion am. April 8, at optikn. April 11, at pm. April 2, at pm. June 18, at pm. April 16, at pm. June 27, at am. February 24, at pm. April 22, at pm. April 23, at am. April 23, at pm. June 27, at pm. June 28, at am. July 25, at am. July 29, at am. Off 25, at pm. August 1, at am. August 3, at pm. August 5, profut am.

August 8, at pgofit. August 13, at pm. August 14, at am. February 28, at am. August 15, at am. August 29, at pm. September profti, at pm. September 23, at am. January 18, at am. January 22, at pm. September 27, at pm. September 29, at pm. October 12, at am. October 25, at am. Orofit 28, at am. November 8, at am. November 18, at am. November 18, at pm. November 23, at pm. April 3, at am. November 28, xeep am.

November 28, at pm. November 29, at am. December 7, at am. December 4, at pm. December 5, at pm. December 7, dwep pm. December 8, at pm. June 30, at pm. July 1, at am. December 10, at am. December 10, at pm. December 11, at pm. December 14, at pm. December 26, at pm. February 26, at am. February 26, at pm. March 22, at pm.

March 23, at pm. March 24, at pm. March 27, at pm. Vikas Kumar Jha says:. March 28, at pm. May 10, at pm. May 27, at pm. May 29, at pm. June 13, at am.

Put payoff diagram

Outlook. The investor is expecting a steady or rising stock price during life of option, and considers the likelihood of a decline very remote. Summary. What is Covered Put? See detailed explanations and examples on how and when to use the Covered Put options trading strategy. Hi Zerodha, If I write ITM option @ and at the expiry day it’s value stands @ and I let the ITM option expire. How much STT will be charges.