Description
Options can be defined as a derivative instrument whose value is derived from the value of some other underlying Asset or Security
Summary
- A Beginners Guide to Basics Option Trading Strategies For Beginners: The buyer of the option is expecting the price to increase in the future.
- The buyer of the option is expecting the price to decrease in future Before understanding the options strategies, let us understand the concept of Moneyness of an option.
- Basic Premise used while explaining these option strategies We will be discussing strategies which work in both bullish and bearish markets The strategies discussed here will have a minimum of two option position running simultaneously The underlying asset which will be consistently used while discussing this strategy will be the Nifty Index The strategies mentioned here does not guarantee to make money, nothing in the market guarantees to make money.