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49–72 of 522 · page 3 of 22- STRATEGIESSlow and spreads more efficientVertical Debit Spreads are the spreads that has both options of the same type and expiry date. Also, the debit element of spreads indicate we have to pay premium to get into the trade. Higher Strike Calls and lower Strike Puts are relatively less expensive.3 min read
- VOLATILITYUse implied volatility as probable top finderPredictability of the IV may not be easily tradable for many but the negative relationship of IV with Futures can help in identifying expected Futures movement.3 min read
- OPTIONS BASICSHow to trade potential breakout post consolidation: Shubham Agarwal!Call Option compared to a Futures Buy will always have a better reward to risk ratio but the success ratio for Buy Call will always be lower for various reasons.3 min read
- OPEN INTERESTUse Options OI for intraday tradingSince Option Sellers are taking unlimited (better put Unknown) risk to get small premium, they are expected to have better grip on the underlying stock or index’s expected movement.3 min read
- VOLATILITYMonetize Vega, the impact of implied volatilityImplied Volatility is the momentum input in the Option Premium. This is what defines how much of the expected move is priced into the Option Premium.3 min read
- OPTIONS BASICSMarket not moving? Trade outperformanceBy taking care of systematic factors, we can largely remove the risk of untimely reversals in the overall market. To remove this risk, we can create a combination of Buy & Sell positions in Futures from the same industry.3 min read
- OPTIONS BASICS5 ways to ever changing market movesShubham Agarwal explains five ways to deal with the movement in the market.3 min read
- OPTIONS BASICSPrice Seasonality | History repeats and benefitExpectation of not rising for the month can also be monetized by Selling a Call Option of strike price closest to the price at the beginning of the month.3 min read
- STRATEGIESBattle choppy range with Iron CondorsIron Condor or Short Iron Condor (since we will be receiving the premium) is a strategy where we sell a higher strike Call and Lower strike Put option compared to the current market price3 min read
- VOLATILITYIndia VIX: The risk index that best reflects market fearIndex of forward looking volatility can thus be termed as risk index. Higher the index, higher will be the possibility of downward move and higher will be the risk of loss.3 min read
- OPEN INTERESTLet Options Open Interest (OI) guide trading in small rangeAn analogy of Options will help to get the help to trade better in range bound market.3 min read
- HEDGING & RISKProtected Futures for slow market with CollarSlow markets are prone to slower moves and that may not even reach the target in a hurry. With Collor, Put can be moved upwards in case the Future move close to target but does not hit the target.3 min read
- STRATEGIESOTM butterfly for slow market: Shubham Agarwal!Butterfly is a strategy that involves selling of 2 options close to the current market price of the stock or index and buying a higher strike price option and buying a lower strike price option.3 min read
- OPTIONS BASICSOption trading for range-bound market: Shubham Agarwal!Range bound markets are also equally profitable, if traded effectively using Options, explains Shubham Agarwal.3 min read
- OPTIONS BASICSTrade Options when momentum is on strike: Shubham Agarwal!While we are trading within the range, there generally is a directional impulse, just that it is short lived. That very fact makes kills the market momentum. So, to adapt to this first modification is to reduce the time horizon of the trades to weekly expiries.3 min read
- OPEN INTERESTCarry forward trades with confidence using Volume PCR: Shubham Agarwal!More Puts being traded means we have a lot of traders using Puts to place their trading bets. This means lot of bearish trades are being taken. This will lead to higher Volume PCR.3 min read
- STRATEGIESBull Put Spread for struggle at the top: Shubham Agarwal!Bull Put Spread involves Selling and Buying of Puts of same expiry where the Sell Put is of a Higher Strike and Buy Put is of a Lower Strike.3 min read
- VOLATILITYMeasuring and trading result volatility: Shubham Agarwal!The total premium is the maximum cover that the option sellers are asking for before the result. So, this can be taken as a rough estimate of the option traders’ expectation or market expectations of the post result volatility (maximum).3 min read
- EXPIRY & EVENTSFinding trend beyond expiry with rollovers: Shubham Agarwal!If Rollover percentage comes out be ~10% below overall Rollover percentage, there is a bright possibility that participation created in last expiry most probably decided to book profits and not carry forward.2 min read
- OPTIONS BASICSOption Scalping Trading Technique, explains Shubham Agarwal!Option Scalping is a trading technique that involves capturing very small moves.3 min read
- OPTIONS BASICS3 tips for Option trading beginners: Shubham Agarwal!The input of time in Option premium calculation is directly related to it. As time passes the value of premium reduces if the stock and its volatility were not to change. Hence, we should expect some reduction on Option premium on everyday basis regardless of anything.3 min read
- OPTIONS BASICSOption writing in consolidating markets: Shubham Agarwal!The consolidation is very contagious in nature. Once started it continues for some time, which gives the chance to Option writing opportunities.2 min read
- OPEN INTERESTHow to enhance your intraday trading strategy with options open interestAs soon as the Highest Call OI strike is crossed Buy that Call with a stop-loss few points below Strike Price. Similarly, as the Highest Put OI strike is crossed Buy the Put with stop-loss few points above the Strike Price.3 min read
- EXPIRY & EVENTSA guide to strike selection in option buyingShubham Agarwal explains how we can translate the high or low confidence in the strike selection, with Options.3 min read