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    Indian Stock Market Futures

    The Indian stock market offers investors the opportunity to trade in stock futures. Stock futures are contracts that allow investors to buy or sell a specific stock at a predetermined price and date in the future. 

    These contracts are traded on stock exchanges such as the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).

    Here are some key features of stock futures trading in the Indian stock market:

    • Contract Specifications: Each stock futures contract has specific details such as the underlying stock, the expiry date, and the contract size. The contract size represents the number of shares that are covered by one futures contract.
    • Margin Requirements: When trading in stock futures, investors are required to deposit a margin with the broker. The margin amount is a percentage of the contract value and is used to cover any potential losses.
    • Settlement: Stock futures contracts can be settled either through physical delivery of the underlying stock or through cash settlement. In the case of cash settlement, the difference between the contract price and the market price is settled in cash.
    • Trading Hours: Stock futures trading in India is available from Monday to Friday between 9:00 am to 11:30 pm.

    Investors should carefully consider the risks involved in trading stock futures, such as the potential for losses due to market volatility and the impact of leverage. It's important to have a sound understanding of the stock market and trading strategies before entering into stock futures trading.

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