INFY RESULT GOOD OR BAD

No other stock traded on the Indian bourses reacts consistently the way Infosys does. A swing of 8-10% on the result day is normal for the stock.The ‘long strangle’ option strategy (buying an out of the money call and similar number of out of the money puts) is something that most option traders practices on Infosys’ result day. The build of position in the stock is the main reason for the stock movement.
 

This quarter the ‘calls’ have won. Infosys surprised the market by announcing better than expected numbers resulting in the stock shooting over 11%. However, the devil is in the details. While the market has reacted sharply to the numbers, it is the consistency of these numbers that is key for the long term revival of sentiments in the stock....

CURRENCIES MEASURED IN TERMS OF DOLLAR

Currencies always trade in pairs because the value of each currency is measured against that of another currency, yeilding a rate of exchange for the currency pair. The primary reason that most currencies trade in the forex market against the U.S. Dollar goes back to Bretton Woods agreement made near the end of the Second World War.After that devastating global war, the United States was the only major country which emerged relatively strong economically after the costly conflict compared to the other significant nations of the world.Despite proposals for the creation of a neutral global reserve currency called the bancor, pressures prevailed for the U.S. Dollar to be chosen as the world's reserve currency at the Bretton Woods conference held in New Hampshire in 1944, just before the end of the war....