In our video of Face2Face Emerge, we have with us our rocking host Mr. Vivek Bajaj, co-founder of StockEdge and Elearnmarkets, in conversation with Mr. Chirag Jain. Here, he will talk about his experience in options trading, which includes his strategy in detail. As a maths teacher, he will discuss his journey into the share market and how he progressed after the initial struggle.
He describes how he carefully tracked market patterns, maintained a trading record, and learned about the possibility in applying averaging techniques in options trading. After experiencing initial losses in the market, he sought to take advantage of the non-linear nature of the market, which is characterized by zig-zag patterns. Further, he dives into the fundamental principals of the options trading strategy that he uses. He strongly emphasizes using technical indicators, keeping an eye on market trends, and promptly responding to changing situations. Time management skills are essential. He warns that poor risk management frequently causes retail investors to lose all their money.
Additionally, Mr. Jain talks about the remarkable hyperbolic curve related to options expiration. In doing so, he provides potential opportunities for traders to make knowledgeable decisions and develop appropriate strategies. He also describes the decay pattern in the market value of options contracts. He suggests setting aside funds to purchase an FDF (Fixed Duration Fund) with a specified exit strategy, taking into account potential market movements. This strategy carries risks but provides rapid and valuable insights. Conducting market studies and maintaining written records facilitate a better understanding of market dynamics. He advises traders to maintain a long-term perspective and not be swayed by short-term market fluctuations.
Watch this video to learn the art of writing down the pattern of the market and then taking action after analysis. You will not regret this and will keep asking for more videos. So learn from this maths teacher who is trading options.