Options and their price action analysis.
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More from Subhadip Nandy

Perhaps you have the idea that calling me " 1 lot Nandy" is somehow derogatory and a easy poke at me. Allow me to explain why I look at this moniker as a badge of honour


I have traded 1 lot continuously twice in my life. The first in 2003 after I blew up on my INFY trade. I traded 1 lot ACC fut consistently and made 50k in a month

The 2nd time in 2013. When I suffered continuous losses for 5-6 months due to a variety of psychological issues. Then I traded 1 lot Nifty options consistently for 3 months. After that 2 lots for next 1 month and slowly increased

I have shared these two incidents on my various interveiws and regularly share this in detail with my handholding students when I talk about trading psychology.

This logic of trading 1 lot to iron out trading issues I learnt from the interview of Anthony Saliba, who traded 1 lot in options for 6 months. BTW, Saliba was the only options trader to have been profiled on the original Market Wizards ( I read his interview and used his logic)

More from Optionslearnings

#Learning Those who are interested in options... Here is an old tweet on gamma scalping ...
A Thread on How to NOT do blunders while selling Options. 🧵🪡

1. Never be Greedy in a High Vix Environment.

Sellers selling OTM get lured by higher premiums and sell near ATM or more than they usually do, this will burn your hand as High premiums also mean that you will end up giving higher premium back than usual as soom as it spikes.


2. Hope

Hope drives a man crazy and this is true for trading the most, hoping for a reversal to cut the pain. Humans have a tendency to avoid the pain and one does not accept the pain by not booking a loss

Tom Hougaard explains this well below.

https://t.co/zDbDT2hdej


3. Not having a setup in non directional Selling

You cannot make money long term if you don’t have a set of rules or adjustments in place already if you are trading long term. Make a plan or a system so that you always know how to survive. Your Position is non D not the market.


4. Getting Egoistic

Many people think they are supreme because they are selling options much likely because of the Trend on Twitter in the community,
You are a trader think like one and remain one trading a certain way does not make you better.
Here are my TOP 10 BEST TWEETS of the week: 10th September.🧵

• Psychological mistakes to avoid
• Iron fly strategy
• Calenders strategy
• 3 great books on trading stocks.
• Various risks and how to manage.
• How breakout stocks behave.
• Solutions for peak margin.

Psychological mistakes to


Iron fly strategy


Calenders strategy to give you consistent


Compounding is

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A THREAD ON @SarangSood

Decoded his way of analysis/logics for everyone to easily understand.

Have covered:
1. Analysis of volatility, how to foresee/signs.
2. Workbook
3. When to sell options
4. Diff category of days
5. How movement of option prices tell us what will happen

1. Keeps following volatility super closely.

Makes 7-8 different strategies to give him a sense of what's going on.

Whichever gives highest profit he trades in.


2. Theta falls when market moves.
Falls where market is headed towards not on our original position.


3. If you're an options seller then sell only when volatility is dropping, there is a high probability of you making the right trade and getting profit as a result

He believes in a market operator, if market mover sells volatility Sarang Sir joins him.


4. Theta decay vs Fall in vega

Sell when Vega is falling rather than for theta decay. You won't be trapped and higher probability of making profit.