Futures trading involves a legal contract to buy or sell an asset at a predetermined price at a future date. It is used extensively across financial markets—be it equities, commodities, or currencies.
In India, futures contracts are available for:
💡 Example: A trader expecting crude oil prices to rise buys a futures contract. If the price increases by expiry, they profit.
Futures are often used to protect portfolios from adverse price changes.
Example: A farmer locks in the price of wheat by selling wheat futures on NCDEX, protecting against post-harvest price drops.
Retail traders speculate on price movements to make profits in short durations.
Example: Intraday traders frequently use Bank Nifty futures for margin-based trading.
Futures contracts require only a margin deposit, offering exposure to a much larger position.
⚠️ Note: Leverage can amplify both profits and losses.
To start trading, you need a demat + trading account and F&O activation with a SEBI-registered broker.
Term | Explanation |
---|---|
Lot Size |
Minimum quantity to trade (e.g., 75 units in Nifty) |
Expiry Date |
When the contract settles (last Thursday of each month) |
Mark to Market |
Daily profit/loss adjusted in your margin account |
Margin |
Initial deposit required (varies from 10–30%) |
Let’s say you expect Reliance Industries to rise in price.
If it goes up to ₹2,600:
If it falls to ₹2,400:
As you can see, volatility and timing are crucial.
Always evaluate your risk tolerance before entering the F&O segment.
Feature | Feature | Options |
---|---|---|
Obligation |
Yes (buyer & seller) |
Only seller is obligated |
Premium Cost |
No |
Yes |
Leverage |
High |
Moderate to High |
Risk |
Unlimited |
Limited for buyer, unlimited for se ller |
Swastika Investmart, a SEBI-registered and NSDL/ CDSL-compliant broker, offers:
✅ With over 30 years of trust and strong regulatory compliance, Swastika helps retail investors and HNIs confidently navigate the futures market.
Yes, through SEBI-approved brokers with activated F&O segments.
No, you can exit anytime before expiry.
Yes, due to leverage and market volatility. Beginners should start small or use demo accounts.
Varies by contract. Some futures require just ₹25,000–₹1,00,000 as margin.
Absolutely. Brokers like Swastika, Zerodha, and Angel One provide mobile platforms.
Futures trading can be a powerful tool when used with knowledge and discipline. Whether you're a hedger or a speculator, understanding how these contracts work—and being aware of the risks—is essential.
If you’re ready to explore futures trading, Swastika Investmart offers all the tools, research, and support you need to trade confidently in India’s dynamic financial markets.
👉 Start your F&O journey with Swastika – Where trust meets technology.
The DOT (Department of Technology) has approved the trial of 5 G technology on the 4th of May.
Post successful trial of 5G technology in India, the company's stocks that offer the 5 G technology have seen high growth. As the news comes out regarding the auction of the 5G network in Q1 of FY22-23, stocks of these companies are growing at a large pace.
Due to COVID 19 outbreak, many people have to work remotely which has highlighted the importance of 5G technology.
Before talking about the companies that are launching the 5G Network in India, let's understand about 5G technology and the companies in India into its segment.
5G is the fifth generation mobile network that comes after the generations such as 1G, 2G, 3G and 4G It is a new global wireless standard network that is designed to connect virtually everyone and everything together that includes machines, devices, objects with people.
If we compare it to 4G, then the 5G network is much faster and more responsive than other generation networks. Also, 5G comes with a greater capacity that will be a real breakthrough for IoT or Internet of Things, AI, machine learning and automate network management.
As per the latest reports from Global Supply Mobile Associations, the 5G network is active in 61 countries. Some of the countries which have enabled 5G technology for its users are Canada, China, Australia, South Korea, the USA and other European nations.
Currently, investments are going on in the 5G Tech in India. The total market size of 5G Tech and related services all over the world amounts to USD 54 billion. It is stated that the market size of 5G will surpass the current amount and will reach around 249.2 billion by the end of 2026, which is more than any countries’ GDP in a year.
1. Tejas Networks
Tejas Networks Limited is a manufacturing company that manufactures telecommunication equipment and has multiple licenses to export its products to several countries. The company designs develop and sell high performance and cost-competitive networking products to telecommunications service providers.
52 Week Performance
If you look at its past performance, the shares of Tejas Networks is standing at its 52 weeks high of Rs 221.5 from a 52 week low of Rs 28.50, thus giving 10 times return. On 11 May, trade experts recommended Tejas as a Buy with a target price of Rs 235 in its research reports.
2. Tech Mahindra
Tech Mahindra is an Indian multinational company known for offering IT and business process outsourcing services. The company’s shares are expected to rise post launching of 5G services in India.
52 Week Performance
If you look at the 52-week performance of the IT company; its 52 week high is Rs 1081.25 and 52 week low was Rs 501.5. Numerous stock brokers and research analysts recommended buying this stock.
The target price range of Tech Mahindra is from Rs 1100 to Rs 1140.
3. Himachal Futuristic Communications Ltd (HFCL)
HFCL is a leading manufacturer of optical fibre cables, optical transport, broadband equipment for the telecommunication industry. The company has a listed track record of more than 30 years. Also, the share price of Himachal Futuristic sets a hit record from a previous 20 years low. This indicates a growth in the company's share.
The scrip's 52 week low is marked as Rs8.70 while 52 weeks high is Rs 38.90.
Moreover, the company has outperformed Sensex Index by 202% and hence it gives 4 times returns from its 52 week low.
4. Bharti Airtel
Bharti Airtel is a blue-chip company and a renowned name in the communication industry that holds around 36% of the market share in the industry as a telecom service provider. Also, the company has already started its trial for the launch of the 5G technology which is the reason behind the stock’s growth.
The stock’s 52-week performance is given as Rs 394.52 week low and Rs 632.52 week high.
5. Reliance Industries
Reliance Jio which is a leading company in the telecom sector is all set to deploy its 5G and its related services such as the Internet of Things (IoT).
Jio is continuously raising its market share because of the company's outstanding performance. If you look at 52-week performance, then the company manages to reach Rs 1393.65 as a 52 week low and Rs 2368.8 as a 52 week high.
The stock is recommended by numerous trade analysts and stock brokers.
One of the most important things about the company is that it has the strongest balance sheet and soon it will be a leader in deciding 5G prices commercially.
6. Vodafone-Idea (VIL)
A company whose stock prices went down post-merger from Rs 30 to Rs, has given almost 6 times returns to its shareholders. Vodafone Idea Limited is the third largest telecommunication service provider for conducting trials of 5 G technology services.
The company’s 52 week low has been recorded at Rs 4.19 while its 52 weeks high is Rs13.8. The scrip of VIL has outperformed the Sensex index by almost 22%.
7. Indus Towers
The company is a merger of two renowned entities Vodafone PLC and Bharti Airtel, formerly known as Bharti Infratel.
Indus Towers has a majority holding of Bharti group, Vodafone group and global investors such as Canadian Pension funds, which makes the company the next Hindustan Unilever in its sector.
Indus tower’s stock performance has been improving day by day as its 52 week low Rs 161.3 and its 52 week high of Rs 282.
8. ITI
ITI is a telecom company that provides telecom equipment to BSNL, MTNL and other Defence departments. The company is known for manufacturing 5G enabled devices to smoothen the test trial of 5G deployment.
As there have been global tension and pandemic issues between India and China, the Indian government has started to promote ITI for its several telecom equipment’ procurements.
The 52 week low for the company is Rs 78.8 whereas its 52 week high Rs 151.6.
9. Smartlink Holdings
The company deals with the trading of telecom equipment goods through its subsidiaries Telesmart SCS Ltd, Digisol Systems Ltd and Synergra EMS Ltd. The company came to the notice because of its manufacturing services of cables and networking devices that will help deploy in 5G services. The company’s 52 week low is Rs 61.4 while it's 52 weeks high of Rs 107.45.
10. MTNL
MTNL is a government company, primarily known for providing telecom services in limited circles. A few months back, MTNL received permission to conduct 5G trials for deploying these services commercially. Its 52 weeks high is Rs 24.4 while its 52 week low was Rs6.68, which makes it a multi-bagger stock.
While previous telecom networks enabled the mobility boom, 5G technology is making devices more friendly and upgrading digitization every day.
Sector: Miscellaneous
Business Area of the Company:
It is one of India's leading securities depositories in India. It offers various services such as account opening, de-materialization, processing delivery receipt instructions, account statement, Re-materialization, pledging, nomination, the transmission of securities, bank account details & SMS services for depository participants.
The company was initially promoted by BSE Ltd. All leading stock exchanges like the BSE Ltd. National Stock Exchange and Metropolitan Stock Exchange of India are also associated with it.
Technical Setup:
Fundamental Setup:
Astral Ltd: CMP 1680 SL 1600 TGT 1820
Sector: Plastic products
Business Area of the company:
This company is the leading manufacturers of plastic pipes. It manufactures plumbing, Drainage, agriculture, Industrial, electrical conduit, and fire sprinkler pipes along with Hauraton surface drainage systems.
It has been a pioneer in introducing CPVC pipes and fittings. The Company offers a wide range of products across piping and adhesives to meet the needs of the real estate sector in India. It has 12 manufacturing units in India and overseas. Astral is delivering the best in its business.
Technical Setup:
Fundamental Setup:
Kabra Extrusion: CMP 181.75 SL 171 TGT 200
Sector: Capital Goods-Non Electrical Equipment
Business Area of the company:
The Company manufactures extrusion lines with matched components, sophisticated automation concepts & tailor-made solutions enabling processors to consistently produce high-quality end products to all its customers.
Technical Setup:
Fundamental Setup:
Company with Zero Promoter Pledge
Promoters increasing shareholding QoQ
Investment Pick: Radico Khaitan CMP 546 TGT 675+
Market Cap: 7296Cr
ROE 17.3%
Dividend Yield 0.37%
Stock P/E 30.2
Sector: Alcoholic Beverages Industry: Breweries & Distilleries
About the company:
Radico Khaitan is one of the oldest and the largest manufacturers of Liquor in India especially Indian Made Foreign Liquor. Also known as Rampur Distillery earlier, started its business in 1943, and it emerged as a major bulk spirits supplier, it is one of the most renowned liquor brands in India.
With more than 75 years of experience in spirits making, it has evolved from being just a distiller of spirits and turned into a leading IMFL company in India. With the unique vision of the promoters, started its brands in 1998 & launched 8 PM Whisky and built a strong manufacturing platform and developing a pan India distribution network to expand its premium brands. It is one of the few companies in India to have developed its entire brand portfolio organically, with in-house capabilities with R&D and customer preferences.
Major Brands – 8-PM Whisky, Magic Moments Vodka, Contessa XXX Rum, and Old Admiral Brandy are some of its well-known brands.
Business Area of the Company:
The company is engaged in the manufacturing and trading of alcoholic products such as Indian-made Foreign Liquor, Alcohol, Country Liquor, etc. The company has its presence in India as well as across global market presence is there too.
Fundamental Setup:
The Indian automobile industry has to go through an amazing change, Now the future of the automobile industry is Electronic Vehicles. The India Electric Vehicle Market was valued at USD 5 billion in 2020 and is expected to reach USD 47 billion by 2026 registering a CAGR of above 44% during the forecast period (2021 - 2026).
The EV has established a market in the USA and other countries with rapid growth in the Indian market. The major benefits of electric vehicles are that it's total pollution-free and with low maintenance. In the USA market, electric vehicles are in great demand and across the globe, the demand seems to increase.
The pandemic hit a lot of industries and one of the major set back is the automobile industry. The sales of vehicles across all the segments have gone down drastically in the country.
The Electric Vehicle market, which had just started to move up and was witnessed a stable rise in its sales, also become a victim of it. Overall, the automobile sector had just started to recover from the first wave of virus when the second, more serious, wave struck earlier this year adding to the misery of the vehicle manufacturers.
But once when things get normal, electric vehicles will witness a boom. With a population of more than 1.3 billion, the market potential of India is second only to China. The world's most populous country has the largest share in the EV market and it contributes to more than 30 pc of the total EV sales around the globe.
The EV market in India has huge potential. One of the reasons for that is an average Indian consumer likes his/her vehicle to be economical and easy on the pocket and the operating cost of an EV is a mere 80 paisa per kilometre, far less than what an ICE-based vehicle costs.
Moreover, battery prices declining since 2010, electric vehicles are expected to become almost as cheap as fuel-powered cars in the future.
India also has a lot to gain from the widespread adoption of e-mobility. Under the 'Make-In-India' program, the manufacturing of e-vehicles and their associated components is expected to increase the share of manufacturing in the country's GDP to 25 per cent by 2022.
The recent uplift in the sales of e-vehicles in the country points towards a rising preference for the same. There is no doubt about it, that the future belongs to EV's with fast-charging batteries and extended driving range.
The government of India also looking to grant some amount under PLI Scheme so that it will boost up the manufacturing of batteries in the country itself.
The major requirement in EV is Lithium-Ion Batteries which is a major requirement for the electric vehicle, several major companies that are manufacturing the same will also get benefited from it.
1. Exide Industries
Headquartered in Kolkata, Exide Industries Ltd manufactures lead-acid storage batteries and inverters. The company manufactures lead-acid storage batteries from 2.5 ampere-hours to 20,600 ampere-hours. The products manufactured by the company include automotive batteries, industrial batteries, and submarine batteries.
Company with a market cap of Rs.15861 & ROE 11.8% with ROCE16.8% & Dividend Yield 2.20%
Brands & Products
With 7 world-class batteries and 2 inverter manufacturing factories across India, it offers the widest battery range for the widest applications, possible. The products are sold across the world, under its brand names EXIDE, CHLORIDE, SF SONIC, CEIL, INDEX & DYNEX.
2. Amara Raja Batteries
The flagship company of the Amara Raja Group is the technology leader and is one of the largest manufacturers of lead-acid batteries for both industrial and automotive applications in the Indian storage battery industry. It is looking to build a Lithium-ion assembly plant soon. The firm is already working in collaboration with different state governments to promote the use of electric vehicles.
Company with a market cap of Rs.13436 & ROE 18.6% with ROCE23.5% & Dividend Yield 1.40%
Brand & Products
Amara Raja is the preferred supplier to major telecom service providers, Telecom equipment manufacturers, UPS sector (OEM & Replacement), Indian Railways, and Power, Oil & Gas among other industry segments.
3. Eveready Industries Ltd
Eveready Industries India is engaged in the business of marketing dry cell batteries, rechargeable batteries, flashlights, packet tea, general lighting products, small home appliances, and confectioneries which come under a single business segment known as Consumer Goods.
Company with a market cap of Rs.2135 & ROE 10.5% with ROCE 15.1% & Dividend Yield 0%
Brands & Products
Dry Cell & Rechargeable Batteries, Flashlights & Lanterns, Lamps & luminaries (Eveready Cell, Power cell)
4. HBL Power
HBL Power Systems Limited is engaged in the business of manufacturing batteries. The Company's segments include Batteries and Electronics.
Company with a market cap of Rs.1055 & ROE 2.99% with ROCE 6.06% & Dividend Yield 0.79%
Brands & Products
Batteries. We manufacture a wide range of specialized batteries in Nickel, Lead, Silver Zinc & Lithium
Electronics: Railway electronics, Defense Electronics & Thyristor control rectifiers.
Sector: Pharmaceuticals Industry: Pharmaceuticals - Indian - Bulk Drugs & Formulation
The company is engaged in the development of new chemical entities & new biological entities. Speciality Business: Drug Discovery, Primarily focused in the areas of inflammation, metabolic disorders, and pain. Speciality Business: Formulation Business, The formulation business focuses on therapeutic areas viz. Dermatology, anti-infective, respiratory, cardiac, diabetes, gynecology, CNS & oncology.
Sector: Textiles Industry: Textiles
The company is primarily engaged in the manufacturing and sales of knitwear. The company has an enduring brand image in the hosiery market. With the rapid growth that the company has been experiencing, in both sales and profits, constantly expanding and innovating products and production techniques while manufacturing an uncompromising stance on comfort.The company has operations in India & caters to both domestic and international markets.
Sector: Capital Goods-Non Electrical Equipment Industry: Abrasives and Grinding Wheels
The company pioneered the manufacture of Coated Abrasives & bonded abrasives in India in addition to the manufacture of Super Refractories, Electro Minerals, Industrial Ceramics & ceramic fibers. The Company's range of varieties of Abrasives, Ceramics, Refractory products & electro-minerals is manufactured across several locations in & outside the country.
Sector: Chemicals Industry: Fertilizers
Gujarat Narmada Valley Fertilizer& Chemical is one of India's Leading entities engaged in the manufacturing & selling of fertilizers, Industrial chemical products & providing IT services.
GNFC Fertilizers GNFC Chemical
When it comes to investing, the name of the stock market comes second to none as many investors or traders actively participate in trading and achieve profit from it.
Investors are of two types: first are those who hold equity investment for more than 1 year and show their income as LTCG or long term capital gains. The second type of investors is those who hold equity investments for more than 1 day or less than 1 year.
There are several types of investors in every financial market, each of them applies its strategy to achieve its financial goals. Hence, the ROI generated by each investor can vary from one to another.
Hence, taxation applied to people who depend on salaried income can be easily calculated. However, the taxation applied on trading income can be a bit complicated as compared to the former one.
Since the income generated from trading varies from trader to trader, taxation law cannot be applied uniformly to all the traders. Like income, the amount of tax applied can also be variable.
If you are new to the trading world, understanding taxation seems to be a difficult word for you.
Here, we will explore all the aspects of taxation that help you to understand tax on different trading styles.
Taxation in trading can be classified into four types: Long term capital gain, Short Term Capital Gain, Speculative Business Income, Non-Speculative Business Income.
All the types of taxation along with their features and benefits are mentioned below; read them carefully:
Long term capital gains are a type of tax levied by the government of India if an investment is held by a trader for a specific period. For instance, if a trader is seeking long term investment and parks its investment for 1 year or longer than it, any purchase or sales profit from the investment comes under long term capital gain tax.
If we talk about equity investment, Long term capital gains are exempted under section 10 of the Income Tax Act. In such cases, the profits are entirely tax-free. However, this is only applicable under certain conditions.
For instance, if you make any transaction via a recognized exchange and sell your equities within the country, long term capital gain taxes are exempted.
As said above, the tax implications for long term investors can be applicable under certain conditions.
If your equity investments cross the threshold of over 1 lakh in a financial year, the tax will be charged at 10%.
In short term capital gains, the duration of holding securities is less than 1 year. According to the norms, the duration of investment in short term capital gains can be held for longer than a day but shorter than a year.
The tax implications on trading income via equity, any capital gains generated by selling a stock leads to a tax deduction of a profit of 15%.
However, your short term capital gains will never be taxed at a standard 15% rate unless your total taxable income is below Rs 2.5 lakhs.
Are capital losses carry forward in long term capital gain and short term capital gains?
Since long term gains are tax-free, they do not carry forward long term capital losses.
Short term capital gains are taxable and therefore they can be carried forward for a year of 8 years from the financial year during which the losses occur.
One of the simplest ways of filing your capital gain returns is to show them as a part of your income statement. However, there are cases where your profits/losses from share trading cant come under income tax returns.
This happens to the individuals, who are traders by profession or most of their equities are held as a stock in trade; in such cases, the profits or losses from the stock trading can be counted as business income and the returns generated on it must be filed accordingly.
To distinguish between normal capital gains and capital gains as a business income, the Income Tax has set certain parameters that are explained below:
If the volume of share trading transaction of any individual exceeds Rs 2 Crore in any FY then the individuals are required to get an audit and then the audit may insist them to file this income as a business income.
Another way of differentiating capital gains and capital gains as business income is the profit threshold.
The income tax department has set a fixed profit percentage (6%) to identify income coming from equities.
If the profit percentage is below 6% of the total volume traded, then the income comes from stocks and shares can be considered as business income rather than normal capital gains.
Business income that comes under intraday equity trading is considered speculative. It is defined as the income generated through trades in which securities are bought and sold within the same day.
As the capital gain tax is taxed at a specific percentage; there are no rates for speculative business income. Instead, your speculative business income is taxed alongside your tax income according to section 43 of the Income Tax Act.
This means, if you have salaried income along with speculative business income, the tax will apply to your combined income.
Business income that comes from trading futures and options on the recognized exchanges are considered as non-speculative business income. Just like speculative business income, the income generated from F&O also added with your other income sources. As a result, the appropriate tax rate slab is applied to your overall income.
Traders are very well informed about the market condition, stock’s value, company performances, similarly they also need to be informed about the tax rate slab applied to the different trading styles.
This information is not only apt for traders as well as for newbies who are seeking investment in stocks for the very first time.
दो सप्ताह से सीमित दायरे में चल रही कीमती धातुओं में अक्षय तृतीया पर कीमतों में सपोर्ट देखने को मिला है। सोने की कीमतों में पिछले सप्ताह निचले स्तरों से 300 रुपये प्रति दस ग्राम सुधर कर 47600 और चाँदी की कीमते 600 रुपये प्रति किलो सुधर कर 70700 पर रही है। अमेरिका और यूरोप में घटते कोवीड मामले के कारण अर्थव्यवस्था मे सुधार हो रहा है जिसके कारण मुद्रास्फीति में बढ़ोतरी देखि गई है। गुरुवार को जारी अमेरिकी वार्षिक कंस्यूमर प्राइस इंडेक्स के आंकड़े 2.6 प्रतिशत से बढ़कर 4.2 प्रतिशत पर पहुंच गए, जिससे सोने के भाव को सपोर्ट मिला है।मुद्रास्फीति में बढ़त के कारण डॉलर इंडेक्स में उछाल देखने को मिला लेकिन अमेरिकी फ़ेडरल रिज़र्व की तरफ से ब्याज दरों में समय से पहले कोई बदलाव नहीं करने के बयान पर डॉलर में दबाव बना रहा। तेज़ी से होते टीकाकरण और बड़े राहत पैकेज से अमेरिकी आर्थिक आकड़ो मे मजबूती देखि गई है। अमेरिकी फ़ेडरल रिज़र्व के अधिकारिओ द्वारा मुद्रास्फीति में बढ़ोतरी को अस्थाई बताया है और अर्थव्यवस्था मे वर्ष के अंत तक अच्छी मजबूती आने की सम्भावना व्यक्त की है।हालाँकि आर्थिक विकास आने वाले वर्षो मे सामान्य गति से ही बढ़ने के संकेत भी दिए है। बढ़ती मुद्रास्फीति पर फेड का शांत बने रहना कीमती धातुओं के भाव को सपोर्ट कर रहा है। लंदन मेटल एक्सचेंज में औद्योगिक धातुओं के भाव में अप्रत्याशित बढ़ोतरी होने के कारण अतिरिक्त मार्जिन लगाने से औद्योगिक धातुओं में गिरावट रही जिसके चलते चाँदी की कीमतों में भी दबाव रहा।
तकनीकी विश्लेषण
घरेलु वायदा बाजार में सोने के भाव 47000 रुपये के ऊपर बने रहने में कामयाब हुए है जिससे इसमें तेज़ी बने रहने की सम्भावना है। सोने में 46400 पर सपोर्ट है तथा 48000 रुपये पर प्रतिरोध है। चाँदी में भी तेज़ी रहने की सम्भावना है। इसमें 69000 रुपये पर सपोर्ट है और 73000 रुपये पर प्रतिरोध है।
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