About the book: Everything About Trading Options

In India, options trading is becoming increasingly popular. According to the data from National Stock Exchange (NSE), the trading volume of Options contracts has been steadily increasing. Since the introduction of the margin rule for derivative contracts in 2019, option strategies have become increasingly popular. Opstra of Definedge is a very popular platform among Indian ... Read more

Derivatives & Futures

Derivatives Derivative is a market segment of trading.  In India, there are two major stock exchanges – National Stock Exchange or NSE and Bombay Stock Exchange or BSE where people can buy and sell shares. That segment is known as cash or the spot segment. There is separate segment called the derivative segment at NSE ... Read more

Basics of Options

Options is a very popular derivative instrument. Most of the turnover at the National Stock Exchange or NSE happens in the Options market. We will discuss trading the Options in detail in this module. But first, let’s discuss the basics. Remember the derivative segment consists of Futures and Options. You must now be familiar with ... Read more

High IV Option Strategies

High IV strategies Short Put Below is a chart of Nifty along with IV. During March 2022, the IV percentile was high but the IV was also rising. IV started falling on 8th March 2022 as shown above when IV percentile was more than 70. That’s a high VIX scenario when IVs have started moving ... Read more

Low IV Option Strategies

Low IV Strategies Buy Put Observe below chart of Nifty along with IV. During January 2021, the IV percentile was around 35 and IV started rising during second week of January expiry. IV was low and started increasing. The bearish candle at previous resistance (bearish swing failure pattern) indicates short-term downside. IV rising is usually ... Read more

Option Strategy Analysis

We discussed strategies based on volatility conditions. There are, however, many other factors that are equally important. The idea was to discuss the normal characteristics of strategies with you. Greeks do not remain constant, and you need to be aware of market conditions and take the necessary steps in order to adapt your strategies. The ... Read more

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