Understanding Option Greeks

In Continuation in Previous Posts How Option Prices are Determined How To Calculate An Expected Range For The Market using Options ? This Options concept are shared by Mr Raja Mohan an Expert Option Trader. I am thankful to Him for sharing his knowledge to all the Readers. Delta:- Change in option price with underlying spot (1st … Read more

Option Writing – Unlimited risk and Limited profit potential

In Continuation with Previous Article Mistakes to avoid when writing/shorting Options Option Writing – Unlimited risk and Limited profit potential An option buyer has limited risk and unlimited profit potential, so if 1 lot of 8000 Nifty call was bought at Rs 130, the maximum loss on this trade is the Rs 9750 (Rs 130 … Read more

Mistakes to avoid when writing/shorting Options

In Continuation with Previous Post  Todays post we will discuss Mistakes to avoid when writing/shorting Options Introduction Options Shorting/Writing Why Retail Traders “Buy Options” and Professional Trader “Write Options” Trading way above your Limit  Over-positioning is the biggest mistake new option sellers make. This is how it works: New traders sell a few options, see … Read more

Introduction Options Shorting/Writing

In Continuation with Previous Article  Why Retail Traders “Buy Options” and Professional Trader “Write Options” What is Option Writing Option Writing means Instead of Buying Options (Buying Call or Put), trader is shorting them, Just Like we short Futures, Option can also be shorted. Universal Rule of Market is Every Buyer will have a Seller … Read more