Tuesday 7 May 2013

WHAT IS INFLATION

Inflation is defined as an increase in the price of bunch of Goods and services that projects the Indian economy. An increase in inflation figures occurs when there is an increase in the average level of prices in Goods and services. Inflation happens when there are less Goods and more buyers, this will result in increase in the price of Goods, since there is more demand and less supply of the goods.
Inflation causes increase of Interest
Inflation can be recognized as a combination of 4 factors :....

Saturday 4 May 2013

A SYNTHETIC SHORT PUT

A synthetic short put is created when long stock position is combined with a short call of the same series. It is so named because the established position has the same profit potential a short put.
The covered call is a popular example of a synthetic short put.
 When to Use
1.In bearish momentum  but want limited risk.......

Thursday 2 May 2013

5 MISTAKES WHILE TRADING IN OPTION

1.Not having a defined exit plan
2.Trying to make past losses by doubling up
3.Trading illiquid option
4.Waiting too long to buy back short strategies
5.Legging into spread trades