Celina Again!!!
Ok after my previous answer you wanna try options i Guess. Not bad, anyway I’ll tell few suggestions from my mistakes which you shouldn’t make which will save you months and as well as your capital.
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signup to sensibull, if u have already thats good, why because They have all data from OI to ready made trade setup where you can do paper trading and test different type of strategies, also you can devise your own strategy from sensibull, If you find a better alternative than sensibull also is fine.
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I am not going you to advice to read option greeks, it will make you mental. If you are good at math and patience you can else leave it, just go through about time decay,delta and volatility alone. you can get all sorts of explanation from varsity itself, need not google.
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have a detailed understanding of what ITM ATM and OTM options are, you have to know what type of option you are going to trade.
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1st do paper trading atleast for 2 weeks and then once you feel comfortable then go for live trading.
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start with 1 lot only, I repeat 1 lot, only when you are successful for many days then gradually you can increase the lot size.
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You need to device 3 strategies for 3 type of markets bull/bear and flat. same will not work every time.
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have a plan before the trade , entry exit Stop loss and profit margin.
before doing all mentioned above don’t enter live trading in options else its suicide, you will never get your money back.
coming to live trading, Index has weekly expiry so don’t have broader view, your view has to be from friday to thursday not monthly or more than that. Every day depends on what happens in US, Europe, RBI, fuel, border, USD vs INR, gold and all factors that could affect index, you have to be upto date before bed and immediately after you wake up.
finally If you are going to be on the buy side don’t take delivery do only intraday as time decay and other factors will eat your profit, If you are on the sell side take delivery only if your entry price is far away from spot( still intraday is preferable here)
on buy side you have to always go with ITM options, say today nifty moved from 16750 to 16950, If you are going to take position when nifty is at 16800 you have to buy 16800CE and vice versa,
If you are on the sell side OTM option is preferable.
at any cost don’t go naked buying or selling, you might be profitable on 5 days in naked options, but 6th day it will not only washout your profits but also your capital. Always have a hedge based on your risk appetite and strategy.
finally have an eye on EOD OI data , PCR value and the same data next day morning, this will give you an idea of market direction.
whatever I have mentioned above are the outcomes of my mistakes from the last 2 years.
further doubts are welcome.