Divergence Explained with Clarity

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Option Trading in India: Settlement and Expiry

In India, options are European-style, meaning they can only be exercised on the expiry date (unlike American options, which can be exercised anytime).
Most traders don’t hold options till expiry — they square off (buy or sell back) before expiry to realize profits or cut losses.

Expiry cycles:

Index Options (like NIFTY/BANK NIFTY): Weekly and Monthly expiries.

Stock Options: Monthly expiries only.

The settlement happens in cash; there’s no physical delivery for index options, while stock options can have physical settlement at expiry.

Penafian

Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.