Option Buying Simplified (PART -2)

Very important thread for all option buyers ๐Ÿงต

Just 5 to 10 minutes to read but it can change your trading a lot.

Support us by RETWEET this tweet to help more option buyers to gain knowledge & to avoid getting trapped from big players https://t.co/yBZ6Y7BaGx

I do Intraday Live Market session via Youtube Live on all trading days - Follow us on twitter @learntotrade365

Join the Telegram channel for Live Market updates and more free content.

Scroll down ๐Ÿ‘‡

https://t.co/VU0bCGjU7s
Main problem which most option buyers face is Option Premium erosion ( Theta Decay ). So I have shared a simple & effective process to understand the option decay during Live Market before entering option buying trades

Scroll down ๐Ÿ‘‡
Follow up example from the above chart about Option premium decay during sideways market. In general most option premium erosion (theta decay) happens during sideways market.

Theta is option buyers ENEMY

Scroll down ๐Ÿ‘‡
Option Buyers high probability zones while trading ATM & ITM strike prices.

VWAP helps a lot in providing data during Live Market

Scroll down ๐Ÿ‘‡
Option buyers want,

Direction
Momentum
Price should not spend more time on & around VWAP

If above confirmation is not there during Live Market wait for the opportunity. Make Trading as simple as possible.

Scroll down ๐Ÿ‘‡
Main work of a option buyer is to stay with the current market direction. When all clues from the chart is showing,

Bullish means focus more on CE
Bearish means focus more on PE

40% to 50% of your loss will be reduced by following the above steps

Scroll down ๐Ÿ‘‡
End of the thread

If you find the thread useful make sure to RETWEET & Like the first tweet. Your support is very important.

Follow us on twitter @learntotrade365 to get more trading content & strategies.

Also do check this MEGA Learning thread ๐Ÿ‘‡
https://t.co/1VnfNSBwKp

More from Learn to Trade

Most traders do or did BREAKOUT TRADING

Here in this Thread ๐Ÿงต a effective technique i use to trade both breakout & false breakout

It will take 5 minutes to read

Kindly RETWEET this tweet if you find the content useful so it can reach and benefit many traders

Scroll down ๐Ÿ‘‡


I do daily Live Market session via Youtube Live ( Monday to Friday morning 9:00 a.m to 01:00 p.m.

Follow us @learntotrade365 . Join the Telegram Channel for live market updates

https://t.co/VU0bCGjU7s

Scroll down ๐Ÿ‘‡

Main problem most breakout traders face is false breakout. So if we understand other side of breakout trading false breakout can also be used as a trading opportunity . Read this thread i have shared few examples.

Chart example - 1

Scroll down๐Ÿ‘‡


Rather getting confused whether the breakout will be a success or failure - look in perspective of double opportunity

Chart example -2

Scroll down ๐Ÿ‘‡


Breakout trading using simple Swing levels. Below example is about making use of false breakout as a trade opportunity. Controlled position sizing can only help a trader to become profitable

Chart example 3

Scroll down ๐Ÿ‘‡

More from Catagory trading

MEGA LEARNING THREAD

The thread contain all the FREE CONTENT which I have shared so far.

Everyone support us by RETWEET & LIKE so it can reach wider and benefit many traders.

YouTube channel - https://t.co/pUUwDN7IO5

Telegram channel - https://t.co/VU0bCGjU7s


Make sure scroll down till last tweet in this thread and learn from all the below content shared related Trading.

Join the Telegram channel for live market updates

Scroll down

Price Action Trading Strategy for Directional traders

Scroll down


VWAP + PIVOT POINTS Intraday Trading Strategy for Directional traders

Scroll down


Buyers vs Sellers - To identify index direction using candlesticks charts

Scroll down
๐—›๐—ผ๐˜„ ๐˜๐—ผ ๐—ฐ๐—ฟ๐—ฒ๐—ฎ๐˜๐—ฒ ๐˜†๐—ผ๐˜‚๐—ฟ ๐—ผ๐˜„๐—ป ๐—–๐—ต๐—ฎ๐—ฟ๐˜๐—ถ๐—ป๐—ธ ๐—ฆ๐—ฐ๐—ฟ๐—ฒ๐—ฒ๐—ป๐—ฒ๐—ฟ

๐Ÿงต Thread ๐Ÿงต
[1/15]

๐—–๐—ต๐—ฎ๐—ฟ๐˜๐—ถ๐—ป๐—ธ ๐—ฆ๐—ฐ๐—ฟ๐—ฒ๐—ฒ๐—ป๐—ฒ๐—ฟ is a Stock screening tool that is useful to screen stocks based on Technical & Fundamentals.
๐Ÿ”ธ It scans stocks by using technical indicators like RSI, MACD, divergences, etc.
๐Ÿ”ธ It also uses fundamental tools like Book Value, EPS,PE etc
[2/15]

How To Create A Scan ?
Go to
https://t.co/JJEJBg3Cd8 & click on ๐˜Š๐˜ณ๐˜ฆ๐˜ข๐˜ต๐˜ฆ ๐˜š๐˜ค๐˜ข๐˜ฏ under ๐˜š๐˜ค๐˜ณ๐˜ฆ๐˜ฆ๐˜ฏ๐˜ฆ๐˜ณ๐˜ด.

[3/15]


๐—™๐—ถ๐—ฟ๐˜€๐˜ ๐—ฆ๐˜๐—ฒ๐—ฝ ๐—ง๐—ผ ๐—™๐—ถ๐—น๐˜๐—ฒ๐—ฟ ๐—ฆ๐˜๐—ผ๐—ฐ๐—ธ๐˜€
We can select segments of stocks of our choice, e.g. cash or futures stocks, Nifty 100 etc.
Click on green โ€˜+โ€™ icon to add conditions.
[4/15]


๐—–๐—ฎ๐—ป๐—ฑ๐—น๐—ฒ ๐—ง๐—ถ๐—บ๐—ฒ๐—ณ๐—ฟ๐—ฎ๐—บ๐—ฒ๐˜€ & ๐—–๐—ผ๐—บ๐—ฝ๐—ฎ๐—ฟ๐—ถ๐˜€๐—ผ๐—ป ๐—ข๐—ฝ๐—ฒ๐—ฟ๐—ฎ๐˜๐—ผ๐—ฟ๐˜€๐Ÿ”ธ We can select any timeframe of candles in Chartink, from minutes to years.
๐Ÿ”ธ And compare two candles using comparison operators like ๐˜Œ๐˜ฒ๐˜ถ๐˜ข๐˜ญ ๐˜ต๐˜ฐ or ๐˜Ž๐˜ณ๐˜ฆ๐˜ข๐˜ต๐˜ฆ๐˜ณ ๐˜›๐˜ฉ๐˜ข๐˜ฏ , crossovers etc
[5/15]

You May Also Like

1/โ€œWhat would need to be true for you toโ€ฆ.Xโ€

Why is this the most powerful question you can ask when attempting to reach an agreement with another human being or organization?

A thread, co-written by @deanmbrody:


2/ First, โ€œXโ€ could be lots of things. Examples: What would need to be true for you to

- โ€œFeel it's in our best interest for me to be CMO"
- โ€œFeel that weโ€™re in a good place as a companyโ€
- โ€œFeel that weโ€™re on the same pageโ€
- โ€œFeel that we both got what we wanted from this deal

3/ Normally, we arenโ€™t that direct. Example from startup/VC land:

Founders leave VC meetings thinking that every VC will invest, but they rarely do.

Worse over, the founders donโ€™t know what they need to do in order to be fundable.

4/ So why should you ask the magic Q?

To get clarity.

You want to know where you stand, and what it takes to get what you want in a way that also gets them what they want.

It also holds them (mentally) accountable once the thing they need becomes true.

5/ Staying in the context of soliciting investors, the question is โ€œwhat would need to be true for you to want to invest (or partner with us on this journey, etc)?โ€

Multiple responses to this question are likely to deliver a positive result.