Margin qns

You have 1000 and buy 2000 worth of stock using 50% margin. You dont get margin call with stock price decrease?

 

You do if you lose 50% on your stocks.

 

there are maintenance requirements. you will receive a margin call long before it drops 50%.

https://www.sapling.com/6522069/calculate-maintenance-margin

 

Are there creative ways to avoid the call without sending more capital?

 

Trade less size....

Or buy some puts at 60 or 70%

 

How do u hedge the put on market rally?

 

You have the stock don't you? So you use the put as a hedge for the stock... that was your initial question.

If the market rallies you make money on the stock... but lose a bit on the put.

If you want protection you pay for it in insurance... you can't have it both ways.

 

Itm put has quite big spread dont they?

 

why trade an ITM put?