The process of selecting the Options Trading Strategies begin with implied volatility. Key Component in determining an option price is Implied Volatility. Option Price premium is determined with Implied Volatility. Easy way to understand Volatility is that option price and volatility will move in the same direction, keeping all the other things same.
Archives for May 2017
PAPER TRADING IS VERY IMPORTANT UNDERSTANDING ITS DISADVANTAGES IS EVEN MORE IMPORTANT Kindly find the SLIDES BELOW
OUR FAVORITE IS THE LAST POINT WHICH IS ALSO THE BONUS POINT UNDERSTANDING OVERTRADING
Bear Market Caveat The Indian Stock market is Selling at a High Valuations. At the same time, the IndiaVix Index volatility index is showing low readings. Index PE is continuously expanding without a break and earning are not justifying the increasing PE.
BETA TOO HAS SHORTCOMINGS BETA AS REAR VIEW MIRROR Beta is a rear view mirror and does not predict the future. Past price movements are a very poor predictor of future. Most of the traders are over dependent on the beta for their single stock analysis. When you are investing in a single stock […]
OPTION TRADING PROCESS FOLLOWED AT ALPHA TRADING