Part 1 Intraday Trading Master Class

What Are Options?

Options are financial contracts that give you the right, but not the obligation, to buy or sell an underlying asset (like Nifty, Bank Nifty, a stock, etc.) at a fixed price within a specified time.

There are two types of options:

Call Option (CE) – Gives the right to buy

Put Option (PE) – Gives the right to sell

In India, all index and stock options are European style, which means they can be exercised only on expiry day, but they can be bought or sold (squared off) anytime before expiry.