Articles in “F&O” category
8 articles.
- How to sell a put option on Zerodha Kite
Step-by-step on writing a put option on Zerodha Kite: the NRML order, SPAN plus exposure margin blocked, premium credited, the obligation to buy if assigned, …
- How to sell a call option on Zerodha Kite
Step-by-step on writing a call option on Zerodha Kite: the NRML order, SPAN plus exposure margin blocked, premium credited, unlimited-loss risk, and physical …
- Naked option selling margin on Zerodha
Naked (unhedged) short option positions on Zerodha require the full SPAN + Exposure margin. Explains the margin level, the risk profile, and why hedging is …
- Market orders blocked for long-dated options
Kite blocks market orders for long-dated (far-month, far-quarter) options to protect against wide-spread slippage. Explains the restriction and limit-order …
- Market orders blocked for deep ITM index options
Why Kite blocks market orders for deep ITM index options. Explains the slippage risk and why limit orders are required for these contracts.
- Hedged positions margin benefit on Zerodha
How hedged F&O positions get reduced SPAN margin on Zerodha. Explains the SPAN engine hedge logic, common hedge structures, and the savings vs naked positions.
- Covered call margin benefit
A covered call (long stock + short call) gets margin benefit on the short call leg because the underlying stock provides delivery. Explains the structure and …
- How to use collateral margin for F&O on Zerodha
Step-by-step guide to deploying pledged securities as collateral margin for futures and options positions on Zerodha, including SEBI's 50% cash rule.