Trading stock futures and options offer a number of advantages. All securities do not, however, have access to these derivatives. They are only available on stocks that are listed on the F&O stock exchange.
A straddle option strategy involves buying both a call option and a put option with the same strike price and expiration date. It's like betting on both sides of a coin toss – you're not sure which way the market will move, but you're hoping for a big move in any direction.
Strangle strategy is an option trading strategy, where you buy both a call option and a put option with the same expiration date but a different strike price. The main importance is that the both option is that both options are “Out the money” when you buy or sell both options.
Iron Condor option trading Strategy, This strategy is used when the market is sideways, and neither a boom nor a recession is seen. This options trading strategy is a combination of “Short Straddle” and “Long Strangle”, which is a very safe options trading strategy. The profit is high, while the loss incurred is very low.
Long long-put option trading Strategy is a very simple and very basic Strategy. Mostly we use this strategy whenever the nifty or bank nifty is bearish in the market or any stock is bearish, then we can go for a big profit with small risk in the put option buying of that index or stock, just buy the put option. The position created in this way is called the long put option trading strategy.
“Bear put spread”, as the name suggests, bear means the bearish environment in the Share market, and put spread meaning, it has been created by combining two put options. Whenever there is a bearish situation in the market. It involves buying one put option and selling another put option on the same stock or index but at different strike prices. The “In the money” or “at the money” put option is
A put bull spread is an options trading strategy where you buy one put option and sell another put option with a lower strike price, both with the same expiration date. It's called "bull" because you're betting the stock price will go up.
A long call butterfly is an options trading strategy that involves three different call options with the same expiration date but different strike prices.
Long Call Option Trading Strategy is a very simple and very basic Strategy, which is the most used. Whenever a trader, If any index is bullish in the market or any stock is bullish, then buys the option of that index or calls the option of that stock for big profits by taking a small risk. The position created in this way is called LONG CALL.
Bull Call Spread as the name suggests, is made by combining, Bull i.e. market is bullish and Call Spread made by combining two call options, with the same expiration date, but at different strike prices. In which the “In the money” call option or “At the money” call option is bought and the “Out the money” call option is sold. Which is called the “Bull call spread” option trading strategy.
Options trading is a type of financial trading that allows traders to buy or sell the right to buy or sell an underlying asset or sell shares at a set price within a specific time frame. A Call option is used when you expect the prices to increase/rise. A Put option is used when you expect the prices to decrease/fall.