24 Points
Posted on 05 November 2022
Buyers with call options get the right but are not mandated to purchase securities at pre-decided quantity, a specific date or strike price. Conversely, those investors having put options will have the right to sell securities at the strike price for a future expiry date. They can specify the quantity too. So, both put and call options have their own share of risks. It depends on the strategies followed, conviction of a trader and the risk appetite to choose a suitable one. One can analyse the put call ratio delta, theta values and implied volatility to arrive at conclusions. You can access such crucial indicators trading platforms of renowned firms IIFL Securities, among several others.
For more information visit:-
https://www.indiainfoline.com/markets/derivatives/put-call-ratio