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Preetesh Ghatke
New to stock market.
Asked a question 7 months ago

Does a high volume in F&O trading impact the underlying prices of the derivatives?

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Naresh Janagam
Full-time Learner & Part-time trader

As per my knowledge, 
Derivatives price depends on underlying asset price. Along with that other factors like greeks, Expiry, Dividends, etc also make an impact on F&O prices.

The high volume will help traders from huge fluctuations in price movements and freak trades.

Traders' participation creates volume, Volume doesn't generate trades.

Thank you

No, High volume only indicates there are large number of trader ate sticked to a particular strike. 


Nothing related to its underlying asset.