Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Everand Logo

Welcome to Everand!

  • Discover millions of ebooks, audiobooks, and so much more with a free trial

    From $11.99/month after trial. Cancel anytime.

    Basics of Option Trading
    Basics of Option Trading
    Basics of Option Trading
    Ebook36 pages23 minutes

    Basics of Option Trading

    By Sankar Srinivasan

    ()

    Read preview

    About this ebook

    In "Basics of Option Trading," acclaimed author Sankar Srinivasan, a certified market professional of the National Stock Exchange of India, presents a comprehensive guide that demystifies the world of options trading. Whether you are a novice investor or an experienced trader looking to expand your knowledge, this book provides a solid foundation in understanding and leveraging options as powerful financial instruments.

    With a clear and concise writing style, Sankar Srinivasan unravels the complexities of options trading and introduces readers to the fundamental concepts and terminology. Starting from the ground up, you'll learn about the different types of options, the mechanics of option pricing, and the key factors influencing option values.

    The author's extensive experience in the financial industry shines through as he explains the various strategies and techniques employed by successful option traders. From covered calls and protective puts to vertical spreads and straddles, Sankar Srinivasan breaks down each strategy, highlighting their advantages and risks, and offers practical examples to illustrate their implementation.

    This book goes beyond theory by providing valuable insights into the real-world dynamics of option trading. You'll discover how to analyze market trends, identify profitable opportunities, and manage risk effectively. Sankar Srinivasan's expertise is complemented by his ability to convey complex ideas in a beginner-friendly manner, making this book an invaluable resource for traders of all levels.

    Whether your goal is to generate additional income, protect your investments, or enhance your trading strategies, this book equips you with the essential knowledge and skills to navigate the world of options trading with confidence. Master the art of options and unlock the potential for greater financial success.

     

     

    LanguageEnglish
    PublisherSankar Srinivasan
    Release dateApr 22, 2023
    ISBN9798223684565
    Basics of Option Trading
    Author

    Sankar Srinivasan

    Sankar Srinivasan is having more than 15 years experience in Stocks, Futures, Options, Commodity, Forex and Crypto trading.  Moreover, He is a Certified Market Professional.of National Stock Exchange of India.

    Read more from Sankar Srinivasan

    Related to Basics of Option Trading

    Related ebooks

    Finance & Money Management For You

    View More
    View More

    Related podcast episodes

    Related articles

    • UNLIMITED

      How Investors Can Prosper With Technical Analysis

      Feb 6, 2019

      Many investment advisors and money managers have a little secret. They will proudly tell you that they rely heavily on fundamental analysis, carefully weighing earnings, market share, competitive environment and demographic trends to select the best

      5 min read

    • UNLIMITED

      How Options Can Help Your Portfolio

      Jun 3, 2020

      For some people, options trading conjures either fantasies of instant riches or nightmares of losing everything. But those are the visions of market-timing speculators, not long-term investors. For most investors with a long-term view, trading option

      7 min read

    • UNLIMITED

      Technical Analysis Tools For Long-term Investing

      Oct 30, 2020

      in the 22 October issue of finweek, I wrote about how I am trying my hand at trading local equities for the first time in over a decade. Some aspects of my index trading have helped (discipline and risk management), but stocks are more volatile and n

      2 min read

    • UNLIMITED

      Covered Calls: One Way to Earn Extra Income on Your Stocks Without Additional Risk

      May 2, 2018

      "Boy, I would definitely sell Apple if it reached $170 again," a client said to me recently. Like many people, she believed entering a limit order at that price was the logical next step. As we explained, however, writing a covered call option might

      3 min read

    • UNLIMITED

      The Magic of Moving Averages

      Jan 31, 2019

      When price charts begin to look like jagged mountain ranges, it can be hard to map out which way stocks are headed. Enter the simple moving average. The tool is a staple of technical analysis--the practice of determining the direction of stock prices

      2 min read

    • UNLIMITED

      What I Learned from Losing $200 Million

      Jul 8, 2020

      I’d lost almost $200 million in October. November wasn’t looking any better. It was 2008, after the Lehman Brothers bankruptcy. Markets were in turmoil. Banks were failing left and right. I worked at a major investment bank, and while I didn’t think

      15 min read

    • UNLIMITED

      RSI Alone Not Enough

      Sep 18, 2020

      oscillators, such as the relative strength index (RSI) and stochastics, are often used as signals for overbought and oversold zones. Let’s use the RSI as an example. Generally, an RSI set on 14 days is considered over-bought above the 70 level, but t

      1 min read

    • UNLIMITED

      A British Trader Who Caused A 'Flash Crash' That Sent Stock Market Into Dive 10 Years Ago Avoids More Prison Time At Chicago Sentencing. 'I Could Never Survive That.'

      Jan 29, 2020

      CHICAGO - Ten years ago, trading futures from his parents' suburban London home, Navinder Sarao shook up the investment world when his computer program set off the "flash crash," causing the stock market to temporarily lose a trillion dollars in a ma

      3 min read

    • UNLIMITED

      Why Bigger Isn’t Always Better

      Oct 16, 2020

      as well as being a long-term investor, I am also a short-term trader on the JSE, trading index futures before the equity market opens. Although the profits (or losses) are small in every trade, the profits are larger than the losses and I get a few m

      2 min read

    • UNLIMITED

      Are You Gambling or Investing? Here’s How to Tell

      Mar 2, 2021

      Investing in the stock market over many decades offers most people an incredible opportunity to build wealth. Does that surprise you? If so, you’re not alone. Over the course of my career as a financial planner, I’ve found that many people look at th

      4 min read

    • UNLIMITED

      He Learned to Trade for Profit - and Can Teach You, Too

      Jan 31, 2019

      Raymond Rondeau, 55, of Exeter, R.I., is a trader, president of the New England American Association of Individual Investors chapter, and creator of AAII's new course, "Investing Strategies and Technical Analysis." When did you start trading? I began

      2 min read

    • UNLIMITED

      Thinking About Day Trading? Read This First

      Sep 22, 2020

      In the midst of the pandemic, you may have noticed a rather unusual trend: More and more people are jumping into the stock market. Despite, or perhaps even because of, extreme volatility in the market and endless speculation about what could happen n

      3 min read

    • UNLIMITED

      Rogue Trader

      Jun 5, 2020

      Rogue Trader
      10 min read

    • UNLIMITED

      Chart Your Way To Success

      Aug 25, 2022

      Chart Your Way To Success
      8 min read

    • UNLIMITED

      Discipline Goes A Long Way

      Mar 31, 2022

      The life of a trader is not what most of us might imagine it to be – that is, glamorous, exciting and paved with gold. More likely it is solitary, private, a bit boring and, when done right, provides a living. We could all be traders. We could all be

      5 min read

    • UNLIMITED

      How to Handle a Bear Market

      May 7, 2020

      There's a reason bear markets are often referred to as panics. This one may turn out to be short, but no one can say it hasn't been severe, with investors not only worried about financial security, but about their very lives. The worst thing you can

      2 min read

    • UNLIMITED

      Learn How To Spot A Rip-off

      Feb 24, 2021

      Learn How To Spot A Rip-off
      3 min read

    • UNLIMITED

      A Better Way To Tell A Correction From A Bear Market?

      Nov 30, 2018

      The standard definition of a correction is a 10% market decline, while a bear market is a 20% decline. These are simple definitions ... I take a different view. At Cornerstone, we view a correction as a significant decline within an up trend. Th

      3 min read

    • UNLIMITED

      How To Count Your Losses

      Nov 15, 2019

      in the previous issue (7 November), I wrote about trading, and in particular about gearing via the use of derivatives, as well as what we should (or shouldn’t) be trading. I promised to return to the other two parts of the equation: How to employ a s

      3 min read

    • UNLIMITED

      Invest Like It’s 1999

      Dec 6, 2019

      Invest Like It’s 1999
      7 min read

    • UNLIMITED

      Know Your Options

      Sep 22, 2023

      Know Your Options
      7 min read

    • UNLIMITED

      How to Use a Put Option Overlay to Minimize Market Risk

      Feb 4, 2022

      It was a rough start for stocks. January was the worst month for the S&P 500 since March 2020. Lately I’ve been fielding more calls from clients about what do with their stock investments. Some are worried they will lose the gains they built up over

      2 min read

    • UNLIMITED

      What to Know Before Exercising Your Pre-IPO Stock Options

      Feb 26, 2021

      First of all, if you are reading this for personal financial reasons, then congratulations. As a recipient of employer stock options, you have the opportunity to own shares of your company. Stock options can be a powerful wealth-builder. If granted,

      4 min read

    • UNLIMITED

      Mutual Funds vs. ETFs: Why Choose One When You Can Use Both?

      Sep 2, 2019

      Both mutual funds and exchange-traded funds (ETFs) are designed to give investors great diversification. For example, instead of just investing in a few technology stocks, buying a technology stock mutual fund or ETF would allow you to own dozens or

      5 min read

    • UNLIMITED

      What Is Preferred Stock, And Should I Buy It?

      May 17, 2021

      It's not the sexiest thing going. But preferred stock, which typically yields between 5% and 7%, can play a beneficial role in income investors' portfolios. As long as those investors know what they're getting into. Preferred stocks as an asset class

      3 min read

    Related categories

    Reviews for Basics of Option Trading

    0 ratings

    0 ratings0 reviews

    What did you think?

    Tap to rate

    Review must be at least 10 words

      Book preview

      Basics of Option Trading - Sankar Srinivasan

      Copyright

      While every precaution has been taken in the preparation of this ebook, the publisher assumes no responsibility for errors or omissions, or for damages resulting from the use of the information contained herein.

      BASICS OF OPTION TRADING

      Copyright © Sankar Srinivasan

      All rights reserved. This ebook is licensed for your personal reading only. This e-book may not be re-sold or given away to other people. If you would like to share this ebook with another person, please purchase an additional copy for each recipient. Thank you for respecting the hard work of this author. Our Print Books and E-Books are available at all leading International online book stores & E-Book stores.

      Search Terms: Sankar Srinivasan gann theory in Google search engine.

      Table of Contents

      Copyright 2

      Table of Contents 3

      Basics of Option Trading 4

      Types of Options 5

      Call Option 8

      Put Option 9

      Open Interest 10

      Option Pricing 12

      Option Strategies 13

      Risk Management 15

      Trading Platforms and Tools 17

      Why is the Binary Option wrong? 18

      Basics of Option Trading

      Introduction:

      Options trading is a popular form of trading that offers traders the opportunity to profit from changes in an underlying asset without actually owning the asset. An option is a financial derivative that gives the holder the right, but no obligation, to buy or sell the underlying asset at

      Enjoying the preview?
      Page 1 of 1