F&O Trading - 021 Trade

F&O Trading

Futures and Options trading guides for Indian markets

Understanding Expiry Day in Options Trading

Understanding Expiry Day in Options Trading

In our previous blog on Futures vs Options, we looked at how options contracts work and what makes them different from futures. One key feature that we explored is that these contracts come with an Expiry Date. Ever wondered what actually happens on this day? Let's look into

Margin vs leverage illustrated with rupee coins, a shield icon for margin and a seesaw for leverage.

Beginner's Guide

Margin vs Leverage: What's the Actual Difference?

Ask ten traders to explain margin and leverage, and at least seven will explain the same thing twice. The words get used interchangeably everywhere - broker apps, YouTube, WhatsApp groups. They're related, but they are not the same thing. And if you're going to trade with

Why is intraday trading not allowed for contracts if the underlying security is under an F&O ban?

Why is intraday trading not allowed for contracts if the underlying security is under a pan? Find a clear answer in this FAQ by 021 Trade.

Will 021 Trade square off the positions in case of “freak trades”?

Will 021 Trade square off the positions in case of “freak trades”? Find a clear answer in this FAQ by 021 Trade.

What do CNC, MIS, NRML, Intraday and Overnight orders mean?

What do CNC, MIS, NRML, Intraday and Overnight orders mean? Find a clear answer in this FAQ by 021 Trade.

What is Options Trading?

What is Options Trading? Find a clear answer in this FAQ by 021 Trade.

How to trade weekly nifty option contracts in 021 Trade?

How to trade weekly nifty option contracts in 021 Trade? Find a clear answer in this FAQ by 021 Trade.

What does Rollover mean?

What does Rollover mean? Find a clear answer in this FAQ by 021 Trade.

What happens if the option contract is not squared off on the expiry date?

What happens if the option contract is not squared off on the expiry date? Find a clear answer in this FAQ by 021 Trade.

Why are F&O contracts not displayed for a particular stock?

Why are F&O contracts not displayed for a particular stock? Find a clear answer in this FAQ by 021 Trade.

How is buy average calculated for F&O trades?

How is buy average calculated for F&O trades? Find a clear answer in this FAQ by 021 Trade.

Why was the settlement price 0 for the option position, although the Last Traded Price (LTP) is not 0?

Why was the settlement price 0 for the option position, although the Last Traded Price (LTP) is not 0? Find a clear answer in this FAQ by 021 Trade.

What is margin Calculator?

What is margin Calculator? Find a clear answer in this FAQ by 021 Trade.

What is Algo trading?

What is Algo trading? Find a clear answer in this FAQ by 021 Trade.

How can I activate Derivatives on the website & Application?

How can I activate Derivatives on the website & Application? Find a clear answer in this FAQ by 021 Trade.

Why is 'Risk disclosures on derivatives' displayed on every login?

Why is 'Risk disclosures on derivatives' displayed on every login? Find a clear answer in this FAQ by 021 Trade.

Futures vs Options: What's the Difference?

Wealth Building Basics

Futures vs Options: What's the Difference?

Futures and Options are two of the most commonly traded instruments in the derivatives market, used for hedging and speculation. Before exploring more about Futures and Options, it's important to understand derivatives. A derivative is a financial contract whose value is based on an underlying asset such as

Why are there restrictions on placing Bank Nifty and Nifty option orders for certain strike prices?

All the strike price of Nifty and Banknifty options are allowed for MIS - Intraday trades. However, for overnight (Delivery) trades, certain strikes are restricted from trading due to SEBI regulations that prescribe market-wide Open Interest (OI) limits. Restrictions on Bank Nifty and Nifty option orders for certain strike prices

How will NSE’s self-trade prevention mechanism affect Cover Orders?

In 2015, the NSE introduced a Self-Trade Prevention (STP) mechanism to prevent clients from unintentionally executing trades against their own orders in the same scrip. If an active order (a newly placed order intended to match an existing one) is likely to match a passive order (an existing unmatched order)

What is Futures and options (F&O)?

Futures and options are the two major types of stock derivatives trading in the stock market. Futures contracts involves buying and selling of standardized contracts that obligate the buyer to purchase, and the seller to deliver, an underlying asset at a predetermined price and future date. These contracts are traded

What is an Electronic Contract Note (ECN)?

An Electronic Contract Note (ECN) is a digital document that serves as a confirmation of trades executed by a client through a stockbroker or alternatively by the broker on behalf of the client. It summarises all transactions made on a particular trading day and includes crucial details such as: Trade

Diamond Hands LLP is a SEBI Registered Stockbroker | INZ000307157 | Registered Address: 2007-08, Cyber One, Sector 30A, Vashi, Navi Mumbai, Maharashtra 400703, India | LLP Identification No: ABA-0634 | Smart Online Dispute Resolution | SEBI SCORES | NSE | BSE

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