Intraday Trading Options Lecture Notes
Main Topics
- Intraday Trading: How to earn profits from the stock market within a single day.
- Options Trading: Option buying, option selling, directional and non-directional strategies.
Options Trading
- Option Buying: Predicting the market movement.
- Option Selling: Usually makes a profit, trading on lower strikes.
- Zero Hero Trades: Identifying the right time, not adding pressure while making a profit.
Strategy Elements
- Initial Setup: Implementing strategies on any trading platform.
- Market Observation: Observing the market at 9:20 AM, checking market levels.
- Call and Put Premium: Analyzing the at-the-money (ATM) premium.
- ATM Premium: Declines over time.
Trading Plan
- Selling Plan: Selling on closing below VWAP (Volume Weighted Average Price).
- Booking Profit: Capturing 70 to 80 points, with a 10-point trailing SL.
- Loss Cutting: Cutting losses when ATM price goes above VWAP.
Indicators
- VWAP: Key indicator, price closing below VWAP is essential.
- Supertrend: Used in quick momentum, setting of 20 and 2.
Zero Hero Setup
- Three O'clock Move: Capturing the move at 3 PM, taking advantage of premium decay.
- Price Action: Identifying big movements in market price over time.
Important Tips
- Don’t invest a huge amount initially, gather more information.
- Observe the market and repeatedly test the strategy.
- Do not rely on cluttered or excessive information, use one indicator correctly.
- Apply the strategy at the right time, proper use of VWAP and Supertrend.
Conclusion
- Strategic Impact: A strong strategy that can regularly earn money if adopted.
- Proper Training: Essential to follow techniques and rules correctly.
Subscribe to the channel for more tips and strategies and receive updates.