How to Calculate an Intrinsic Value in Stocks?
The method of intrinsic value involves figuring out the current value of the money the asset is expected to make in the future.
Tag: Options Trading
How does the Selection of Strike Price in Options Trading works?
The strike price in option trading also called the exercise price, is where a put or call option can be used. When choosing an option, investors or traders have two critical decisions to make: the strike price and the time until it expires. It significantly impacts the outcome of your option trade
What is the Risk Reward Ratio and How does it Work?
The risk/reward ratio helps traders assess if a trade is worth it by comparing potential gains to the risk involved. Lower ratios mean less risk for similar rewards.
Understanding the Importance of Open Interest in Futures Markets
Before initiating an investment in a particular stock, we examine various factors like technical, fundamental, and futures and options parameters. Among these, the importance of Open Interest is a significant future parameter. What is Open Interest? It’s essentially the count of all open contracts in the futures market. A contract involves both a buyer and…
Stock Market Prediction for Nifty & Bank Nifty 04 August 2023.
In the Stock market today, Nifty ended below 19,400, and Sensex dropped for the 3rd day in a row, closing 542 points lower; Midcap and Smallcap indices remained unchanged, while pharma stocks showed strength against the prevailing trend.
A Guide on Volatility in Stock Market.
Volatility is the measure of how much a stock’s price fluctuates over time, indicating its potential risk and uncertainty.