Revisiting Option Strategies
by PRASHANT SHAH -
Revisiting the Strategies Now when we know the IV and Options Greeks, we can initiate options strategies in a better way and address the following questions related to them: We discussed that Volatility is an important factor that a traders needs to deal with. It affects the options prices. Let’s discuss which strategies should be ... Read more
High IV Option Strategies
by PRASHANT SHAH -
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
by PRASHANT SHAH -
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
by PRASHANT SHAH -
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
