Options Training Objective
Simplify Options theory by understanding all the concepts and how each of these concepts is applied to actual trading; thus laying foundation for Options trading. Also cover a practical non-direction hedging strategy to trade Nifty.
The one session will be conducted via Fox / Falcon platform for which no programming knowledge is required.
What’s included with Course
- The recorded course sessions
- Handbook on Options trading
- Handholding for 2 months with query resolution support
- Life-time access to professional forum of algo traders
- Discount on TA software
What’s not included with Course
- No investment advice. This course is for education purpose with objective to impart knowledge and skill.
- No guarantee of getting rick quickly
Q: For whom this course is useful
- The course is useful for anyone who wants to learn Options basic theory. Learning and understanding concepts from a mentor is much easier than self-learning by reading theory & definitions from books
- Traders who get confused with Options buying and Options selling
- Who wants to understand various strategies to trade Options and aspiring to be a professional trader
Q: What are the pre-requisites for Options basic course?
None. Just basic familiarity with stock market and Futures trading
Q: I know Options but do not make profits
It’s imperative to gain total knowledge of Options. There are various aspects that affect Options pricing. Half knowledge is dangerous; so build your base strong. Options is complex but not complicated
Q: What kind of profits and rate of return I can expect after doing the course?
There is no guaranteed profit or a fixed rate of return in stock market. You can certainly improve the probability of making money by devising Options strategies that suit your risk appetite
Q: How much capital do I need to trade Options?
It depends on selection of strategy. Options buying require less capital as compared to Options selling. When you buy Options, you pay only premium as quoted in market and when you sell Options, you need to pay margin money to the stock exchange (your investment increases)
Q: Is Options writing (selling) safe?
Options writing carry high risk. The profile of Options writer is limited profit and unlimited (or big) loss. It’s always advisable to follow a stop loss as good discipline. The historical data reveals that the majority of Options expire worthless, thereby enabling Options sellers to benefit. You need to develop your expertise in Options writing
Q: What will I learn from the course?
The concepts and theory, strategies formulation & analysis, practical application to actual trades and confidence to handle Option strategies. The other important allied areas are risk management, money management and discipline rules
Q: What if I miss one or two sessions?
You will be provided with recording of each session. Further you will have access to professional forums
Q: Will this basic course make me a professional Options trader?
This course will provide a strong foundation and prepare you to understand the rationale behind any Options strategy. It is advisable for you to do Options advanced course which would cover rule based Options hedging strategies
Q: What is the MANTRA for making money in stock market?
There is no short cut to making money. Stock market trading is risky. Like any other business or profession, you need to have knowledge, skills, tools, money and most important requirement is discipline to trade in the stock market. Education and discipline are pre-requisites. Options provide the much better opportunity to profit as compared to any other instrument
Detailed Content- Session by Session
Session 1: Friday, 15th September
- Introduction to derivatives
- Options Versus Futures and why Options trading?
- Introduction to Options – Call & Put payoff & Risk-Return, BEP
- Options buying Versus Options selling – Trade off with Risk & returns
- Options pricing (moneyness) – ITM, ATM & OTM
- Option price components – Intrinsic value & Risk value
- Selection of strike price
Session 2: Sunday, 17th September
- Options liquidity
- Options transaction cost
- Options investment – ROI and Success rate parameters
- Options Greeks (application to trading) – Delta, Gamma, Theta, Vega, Rho
- Market indicators – Open interest, Roll-over, Put-Call ratio
- Options business policy (best practices)
Session 3: Saturday, 23rd September
- Options view based book strategies
- Synthetic derivatives
- Bullish & Bearish strategies
- Straddle & Strangle strategies
- Ratio Spread strategies
- Butterfly & Condor strategies
- Calendar Spread
Session 4: Monday, 25th August (Live market)
- Practical hedging strategy to trade Nifty