Trend Analysis
OPTION TRADING When you trade options, you're essentially placing a bet on if a stock will decrease, increase or remain the same in value; how much it will deviate from its current price; and in what time those changes will occur. Based on those parameters, you can choose to enter into a contract to buy or sell a company's stock.
You don't need a considerable sum of money to become an options trader. You can start small with a capital of less than Rs 2 lakhs too. However, as you start small, you need to be a careful trader so that you can cut down on the possibility of losses and enhance the return potential of your trades.
How to get profit by option chain in trading For long calls: If the underlying is above the strike price on expiration, the profit is the underlying price on expiry – strike price – premium paid per contract. If the underlying is at or below the strike price on expiration, the option has no value so your loss is the premium paid to buy the call option.
Options trading can be one of the most lucrative ways to trade in the financial markets. Traders only have to put up a relatively small amount of money to take advantage of the power of options to magnify their gains, allowing them to multiply their money many times, often in weeks or months.
What is Option Chain ?Options chain can be defined as the listing of all option contracts. It comes with two different sections: call and put. A call option means a contract that gives you the right but does not give you the obligation to buy an underlying asset at a particular price and within the option's expiration date.
How does an option chain work? An option chain displays available call and put options for a specific underlying asset, with their strike prices, premiums, and open interest. It provides a snapshot of market sentiment and potential price movements.
Relative Strength Index (RSI) IndicatorThe relative strength index (RSI) is a momentum indicator used in technical analysis. RSI measures the speed and magnitude of a security's recent price changes to detect overbought or oversold conditions in the price of that security. The RSI is displayed as an oscillator (a line graph) on a scale of zero to 100.
RSI readings below 30 signal buy opportunities, indicating the asset is undervalued. Conversely, RSI readings above 70 signal sell opportunities, suggesting the asset is overvalued. A value of 50 signifies a balance between bullish and bearish positions or a neutral stance.
DATABASE TRADING Trading data providers supply real-time and historical information relating to stocks and securities traded on various global financial exchanges. Opah Labs. Based in USA. Delivering deep proprietary industry data across a broad range of sectors to create cutting-edge insights.
Stock exchanges and data vendors are great sources for institutions. Retain traders can use broker APIs as it's more economical. As a trader, you must be quick and analytical, and good-quality data is the way to go
TECHNICAL CLASS of trading Technical trading is a broader style that is not necessarily limited to trading. Generally, a technician uses historical patterns of trading data to predict what might happen to stocks in the future. This is the same method practiced by economists and meteorologists: looking to the past for insight into the future.
Algo Trading Made Easy.
Technical Trading Made Easy: Online Certification Course.
Stock Valuation Made Easy.
Candlesticks Made Easy: Candlestick Pattern Course.
Options Trading Made Easy: Options Trading Course.
Commodity Markets Made Easy: Commodity Trading Course.
CRUDE OIL - Short and Long Oppurtunity in INTRADAY 20 Dec 2024Price break the support line (Black color) formed since 11 Dec and it looks like it is time to Short. Also, Monthly CPR Pivot range comes under the support line so there will be oppurtunity for Long if price touch 8840 and reverses and go inside the channel.
2 Amazing swing trading idea for 20 December MarketsBoth are Breakout trading ideas. One has a nice volume cluster concept along with a nearby hidden line. The other seems like a sleek price action pattern on a weekly time frame but needs closing on Friday. Make your journals for the same, and let's observe the charts tomorrow.
In this video it is being told that how Bank Nifty and AppointmeIn this video it is being told that how Bank Nifty and Appointment are working in a range on the coming Monday and what can they do, how much movement can happen in them, how much can they go down, how much can they go up, I am telling all this in this video, please listen to the video carefully
2 Amazing swing trading idea for 19 December MarketsI daily make educational content videos for swing / positional trading
Analyzed Gravita and Technoe stocks based on counter-trendline breakout price action, mother candles, and pattern trading. Despite solid setups, I discussed risk management and why I chose not to enter. Perfect examples of amazing price action opportunities!
PROFESSIONAL TRADAER ( point of view )A professional trader is someone who buys and sells securities frequently for short-term benefits. An investor generally buys and sells securities for long term capital gains and dividends.
What is a professional trader? A professional trader is a person who works in finance and engaged in investing as a business or in a full-time role rather than occasionally or as a hobby. They may work for themselves, at a trading company, at a wealth management firm or as a freelance trader for individual clients.
The estimated total pay for a Trader is ₹13,41,500 per year, with an average salary of ₹8,41,500 per year. This number represents the median, which is the midpoint of the ranges from our proprietary Total Pay Estimate model and based on salaries collected from our users.
Technical analysis MACDMACD is a momentum indicator, which follows trends and belongs to the oscillator family of technical indicators. It permits you to: According to the relationship between two moving averages, determine the current trend direction (bullish or bearish) and forecast where the price is more likely to go.
The 12 represents a moving average of the previous 12 bars. The 26 represents a moving average of the previous 26 bars. The 9 represents a moving average of the difference between the two moving averages above.
Divergence in Trading What is Divergence? Divergence is when the asset price moves in the direction opposite to what a technical indicator indicates. When a stock is diverging, it signals weaker price trends and the beginning of a reversal
Seeing divergence increases profitability by alerting a trader to protect profits. Technical traders generally use divergence when the price moves in the opposite direction of a technical indicator.
Strong divergence is the most reliable type of divergence, often signaling a significant reversal. It occurs when the price makes a new high or low, but the indicator fails to do so, indicating weakening momentum.
Advance database trading Stock exchanges and data vendors are great sources for institutions. Retain traders can use broker APIs as it's more economical. As a trader, you must be quick and analytical, and good-quality data is the way to go
Paper trading, also known as virtual trading or simulated trading, is a practice that allows beginners and experienced traders alike to simulate the process of buying and selling financial assets, such as stocks, without using real money.
Option And Database trading To study an option chain, focus on the current market price, displayed in the centre. Analyse the built-up data to understand market direction based on recent changes in open interest and price. ITM call options are typically highlighted in yellow, making it easier to distinguish them from other options.
Adani Enterprises. ...
Infosys Limited. ...
HDFC Bank. ...
Tata Consultancy Services (TCS) ...
Bajaj Finance. ...
Tata Steel. ...
Bharat Petroleum Corporation Limited (BPCL) ...
Larsen & Toubro Limited (LT)
how to use ADX The ADX is widely used and is considered by many traders to be very reliable as a gauge of trend strength. Traders can easily alter the time period to meet their
ADX below 20: Non-trending or consolidating.
ADX crosses above 20: A new trend may emerge.
ADX crosses 25: Confirmation of the trend.
ADX above 40: Strong trend.
ADX crosses 50: Extremely strong trend.
ADX crosses 70: A rare occasion.
Lecture for option trader Derivatives - Options & Futures: Interactive Brokers.
Practical Guide to Trading: Interactive Brokers.
Trading Strategies in Emerging Markets: Indian School of Business.
Financial Engineering and Risk Management: Columbia University.
If you think the stock price will move up: buy a call option, sell a put option. If you think the stock price will stay stable: sell a call option or sell a put option. If you think the stock price will go down: buy a put option, sell a call option.
technical class 2 But, unlike teen patti, options trading is not just based on luck. With the right knowledge and understanding of the market, you can make informed decisions that can lead to big profits. So, if you're willing to put in the time and effort to learn about options trading, you can definitely do it
The best way to learn options trading is to take an options trading course. These courses lay out a specific curriculum and can take you from total novice to consistent profits. The right options trading course can help you learn options trading far more efficiently than a DIY approach through books or YouTube videos.