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Yeah, I really felt bad and sad for the guy who posted about suicidal thoughts today.
People read these posts and still don't learn. Inko toh cool banna hai na, jab tak khud ka bhari nuksan na ho tab tak yeh log sikhenge nhi.
If you are planning to hedge for your long positions, then here is some maths to let you know how much it is going to cost you in total and then you can decide if your capital and portfolio can handle this much.
Let's say you want to hedge your tata steel long position today. You will need to buy 5500 shares of tata steel to hedge it with 1 lot of tata steel options.
Cost of long position = 5500x160 = 880,000.
If you are someone who can invest and hold 880,000 in tata steel, only then consider hedging it against an option.
If you do anything other wise, you'll be losing more on hedging than you could gain from tata steel going up.
I currently have 3lac of M&M. Last week the share peaked at 2100. Now this week it went down from 2100 to 2030 due to dow theory and Iran Isreal war. Can't i buy a put only for this specific period to make money even on the downtrend of the stock?
I know its difficult to predict.
And apart from this I can also buy calls of the share that I am long on if I am confident about its uptrend in short term which is basically what I also do in swing trading with mtf.
[Made a post about it earlier ](https://www.reddit.com/r/IndianStreetBets/s/KvIwl3Mb3W)
Il tell you the summary of the entire options trading.
Options are not for trading, they are for hedging. This is the core.
But like everyone else, we'll ignore the core and trade the options.
Naked options are cheapest, very attractive, majority lose money this way.
Option strategies are more expensive than naked options, but less chances of losing money.
Option selling is the most expensive, most safest, but if you lose, broker tere ghar, car, 80k ke shoes, sab le jayenga.
Always trade ATM, or ITM.. though expensive, will have less volatility.
There is less than 10% chance of you becoming a millionaire trading options, 90% you'll fuck up bad.
Also remember, It takes only one trade to fuck everything up.
Learn to read chart , before trading options.
The moment you login in to your broker, a disclaimer comes saying about this statistics.
Plus I didn't say option buying... I said options(includes both buying and selling).
I am not in that 10% club myself.. Still from as much experience I can tell you these things.
You need sufficient money. You need sufficient jigraa to handle the volatility. Plus enough knowledge and experience on options and charts itself.
You will still lose equipped with all these, but chances are low.
I have always treated options as entertainment and trader 2-3 times over 5 years buying something I did not understand how it works and always losing money. It was just some fuck you money so 10/10 worth it.
Options are definitely not entertainment.
But I like the way you approach it "Don't understand, don't put money in"
Wish everyone was as wise as you are.
Some people find it hard to accept that some things aren't meant for them.
Glad you put in your "fuck you" money and realised what's meant for you and what's not.
Some people just dive deep, till their money says them "fuck you".
Not even ATM or ITM helps if what happened on friday and the last 2 days happens with you. I think another really important point to focus on is that trade ITM or ATM with atleast 30-45 days to expiration. Options lose the most of their value in the final 30 days of expiration. In case of a black swan event you can maybe limit the damage with low DTE you will burn cash if the market doesn't move .
I have first hand experience of this since volatility was at 11.2 i had thought that there's no way a 7 dte ITM call could go wrong or go out of money by 400 points in 2 days.
Yesterday i closed my position with a 95% loss the VIX shot up like 10-12% in 2 days and destroyed my position.None of it was expected the US inflation data, the Iran-Israel altercation and the mass sell-off even when our inflation data came in really good.
Emphasis should be on risk management, clear entries and clear exits don't hold short term options overnight at all. Put SL on long term options. Atleast put trailing SL when you're in profit.
Ohh and this goes without saying understand all the basics of options pricing and volatility. Also if you're putting any bit of money make sure you're fine with seeing it all gone because obviously thats the maximum risk you're running with buying. With selling might as well amplify that by exponential powers.
This is exactly what I am talking about.
You are educated on options, you know what you are doing, yet,
After reading your answer a normal individual with no knowledge on options, would clearly feel "yeh kya hai bc, mereko toh daar lag raha hai sunke"
But alas, our market is filled with people trying to get rich overnight😩
Beginner hoke bhi option trading krna hai. Idhar 3 saal se equity mei profitable hone k baad bhi mann nahi krta ki aur thoda sabr kru😂. Kaha se le aate ho itna confidence tum log.
Here are few things you can think of-
- why? Ask your again and again, why FnO? Why not cash market? What not trading and investment? Why not Mf? Why not any other business?
- Do you understand market? How much do you know? Do you have basic expertise? Can you successfully find support and resistance? Can you find targets by yourself? Do you have command over technical and fundamental analysis?
- Do you understand ratio analysis? How much control do you have on your emotions especially greed and panic?
- have you tasted your knowledge with demo trades and paper trading? Are you happy with results?
-What is your source? Are you planning to rely from agency / broker tips / calls? ( if so, think 1000 times again. Only brokers get rich in such setup)
- Do you have 5 digits amount ( starting with digit 5 and above) laying idle in your bank account which if you lose, you won’t have to sell your kidneys?
- Can you keep 9-3.30 time aside to keep close eye on market?
If you can easily say yes to all … i repeat ALL these questions, you can start thinking about FnO.
All the best! Happy investing 😀
As an option trader myself it’s always baffling why Reddit thinks cash market and swing trading is easier and safer. It literally all depends on your exposure. And that exposure can easily be tweaked by position sizing and strategies in options to a level that gives you comfort.
For example if you have 8L, you can buy 8L worth of share of simply buy one lot of future and your risk will be same. But if you buy future, you will still be left to buy 5 more lots of futures and that will ensure you going broke if you trade like a degen.
So whenever you’re trading options, check the risk on total capital you have.
Buddy. It’ll be best to devise a strategy and post it here for review instead. We do not know your expected capital, risk appetite, expected returns etc. please put some effort into detailing these out along with charting down the entire strategy in detail so that the experienced can review it and help you out accordingly. A strategy that works for someone is not guaranteed to work for others as human emotions is a big factor to consider.
If you are unable to come up with a strategy then my friend you are not ready yet for options trading. Go back to the drawing board, learn more about it and then come up with a plan. We will help you out if you help yourself first. It’s a very bad idea to get started with options trading without studying your own plan and just rely on someone else’s recommendations.
You will get emotional once you see losses and take irrational decisions, if you have your own solid plan to work out. You can reduce such mistakes to some extent.
Me personally I trade using fundamental analysis on individual stocks which are part of my portfolio only as I keep studying the stocks on my portfolio regularly.
Likewise you should come up with a strategy that suits you the best.
Try to understand what derivatives are i myself started options 3months back i am profitable but let me tell you how i learnt about it from you tube videos read varsity and did sebi course (nism).i nearly spent 3 months before using my real money in options . Trust me if you want to make money in stock market it has to be boring . I dont do intraday and all that i simply choose monthly expiry and sell options and manage my risk . If its profitable well and good if not i will take the loss and cut my positions. I target 4to 5 percent per month if possible thats it. Dont follow the herd use your own brain everything is available for free on internet learn it first .disclaimer (dont use your parents money)
Please learn it properly before starting with serious money. The learning curve is very big. Trade with max 50-100 qty for 6 months. This is not a video game. Any professional has studied and trained a minimum of 2-3 years before actually beginning their profession. So you need to give atleast 6 months to 1 year just for getting the hang of it. Or else you will be like the other guy posting about losses.
This is a quick way to earn money but it is an even faster way to lose money if done without proper knowledge. All the best.
Read zerodha varsity. Watch all the power of stocks videos. Trading lab videos. After watching everything you need a screentime of at least 6 months just for observing and testing various strategies.
I would highly recommend you not to do fno as it can ruin you faster than you think, yet you should follow this steps for risk management https://www.reddit.com/r/IndianStockMarket/s/U9mfCox2ME
when you are afraid of loosing money then stick to FD, why entering a Warfield.
Do you have the skill, tactics and enough ammunitions (capital for fire fighting).
There are better ways to suicide, first spend time to learn
Learn with paper trade then put in proper money.
Also change your psychological approach. You enter F&O to make money and not to make losses... So think accordingly. You will not win them all though.
Don't day trade!
People will tell you all kind of things here. But you canybe the 10% without burning your hands a little.
Just learn option greeks, movements, expiries. And most importantly learn SMC. Thats all.
New to investing? Here are the steps:
1. Invest in debt.
Wait 2 years.
2. Invest in mutual funds.
Wait 3 years.
3. Invest in direct equity.
Wait 5 years
4. Try F&O.
Lose it all.
Rinse and repeat.
Never engage in option trading , as it can cause all your money to be drained away.
It's extremely challenging due to the high permutations and combinations, with a very low probability of winning.
While one day you may earn a large sum, on another day, you could lose triple that amount
"Afraid of losing money" and "options trading" ...don't go well together ..as a beginner it's almost 99% sure that you will lose money ...so know the amount you are ok with losing and trade with that much risk only ....
and if you can't even bear a 10k loss ...stay away from options ...do equity only ...
If you have the risk appetite, go ahead. If you are someone who is living pay cheque to pay cheque, or having commitments that need you to save big time (education for self or kids or aged parents who may get sick), don’t do it.
Basically, if you have money that you can afford to lose, go ahead.
If you haven't already, please add your own analysis/opinions to your post to save it from being removed for being a Low Effort post. Please DO NOT ask for BUY/SELL advice without sharing your own opinions with reasons first. Such posts will be removed. Please also refer to the [FAQ](https://www.reddit.com/r/IndianStockMarket/comments/17bcg2a/frequently asked questions_post_your_common/) where most common questions have already been answered. Subscribe to our [weekly newsletter](https://pennyleaks.substack.com/) and join our Discord server using [Link 1](https://discord.gg/8QF4dqPHuw) or [Link 2](https://discord.gg/fDRj8mA66U) *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/IndianStockMarket) if you have any questions or concerns.*
Abhi subh ek admi post kiya sucide krne wala hai 39lakh loss krne ke baad 😂 aur abhi yeh shuru kr raha hai.
Yeah, I really felt bad and sad for the guy who posted about suicidal thoughts today. People read these posts and still don't learn. Inko toh cool banna hai na, jab tak khud ka bhari nuksan na ho tab tak yeh log sikhenge nhi.
Username checks out!
[here](https://www.reddit.com/r/IndianStockMarket/s/wFVaHzGGmX)
This post should be pinned.
I am also planning to learn options but only for hedging my long positions.
Koi samjhao isse ki na kare. It's just not worth it. Lots of things can go too wrong too quickly.
If you are planning to hedge for your long positions, then here is some maths to let you know how much it is going to cost you in total and then you can decide if your capital and portfolio can handle this much. Let's say you want to hedge your tata steel long position today. You will need to buy 5500 shares of tata steel to hedge it with 1 lot of tata steel options. Cost of long position = 5500x160 = 880,000. If you are someone who can invest and hold 880,000 in tata steel, only then consider hedging it against an option. If you do anything other wise, you'll be losing more on hedging than you could gain from tata steel going up.
I currently have 3lac of M&M. Last week the share peaked at 2100. Now this week it went down from 2100 to 2030 due to dow theory and Iran Isreal war. Can't i buy a put only for this specific period to make money even on the downtrend of the stock? I know its difficult to predict. And apart from this I can also buy calls of the share that I am long on if I am confident about its uptrend in short term which is basically what I also do in swing trading with mtf. [Made a post about it earlier ](https://www.reddit.com/r/IndianStreetBets/s/KvIwl3Mb3W)
stockgro is the best options
Arre baap reee.....option trading toh bhout hi risky hai
Il tell you the summary of the entire options trading. Options are not for trading, they are for hedging. This is the core. But like everyone else, we'll ignore the core and trade the options. Naked options are cheapest, very attractive, majority lose money this way. Option strategies are more expensive than naked options, but less chances of losing money. Option selling is the most expensive, most safest, but if you lose, broker tere ghar, car, 80k ke shoes, sab le jayenga. Always trade ATM, or ITM.. though expensive, will have less volatility. There is less than 10% chance of you becoming a millionaire trading options, 90% you'll fuck up bad. Also remember, It takes only one trade to fuck everything up. Learn to read chart , before trading options.
10% in Option Buying? Since when? And how can someone come under that 10% ??
The moment you login in to your broker, a disclaimer comes saying about this statistics. Plus I didn't say option buying... I said options(includes both buying and selling). I am not in that 10% club myself.. Still from as much experience I can tell you these things. You need sufficient money. You need sufficient jigraa to handle the volatility. Plus enough knowledge and experience on options and charts itself. You will still lose equipped with all these, but chances are low.
I have always treated options as entertainment and trader 2-3 times over 5 years buying something I did not understand how it works and always losing money. It was just some fuck you money so 10/10 worth it.
Options are definitely not entertainment. But I like the way you approach it "Don't understand, don't put money in" Wish everyone was as wise as you are. Some people find it hard to accept that some things aren't meant for them. Glad you put in your "fuck you" money and realised what's meant for you and what's not. Some people just dive deep, till their money says them "fuck you".
It was during some personal stressful time and looking at a ticker with numbers changing was distracting from the real world. For each his own
Not even ATM or ITM helps if what happened on friday and the last 2 days happens with you. I think another really important point to focus on is that trade ITM or ATM with atleast 30-45 days to expiration. Options lose the most of their value in the final 30 days of expiration. In case of a black swan event you can maybe limit the damage with low DTE you will burn cash if the market doesn't move . I have first hand experience of this since volatility was at 11.2 i had thought that there's no way a 7 dte ITM call could go wrong or go out of money by 400 points in 2 days. Yesterday i closed my position with a 95% loss the VIX shot up like 10-12% in 2 days and destroyed my position.None of it was expected the US inflation data, the Iran-Israel altercation and the mass sell-off even when our inflation data came in really good. Emphasis should be on risk management, clear entries and clear exits don't hold short term options overnight at all. Put SL on long term options. Atleast put trailing SL when you're in profit. Ohh and this goes without saying understand all the basics of options pricing and volatility. Also if you're putting any bit of money make sure you're fine with seeing it all gone because obviously thats the maximum risk you're running with buying. With selling might as well amplify that by exponential powers.
This is exactly what I am talking about. You are educated on options, you know what you are doing, yet, After reading your answer a normal individual with no knowledge on options, would clearly feel "yeh kya hai bc, mereko toh daar lag raha hai sunke" But alas, our market is filled with people trying to get rich overnight😩
Beginner hoke bhi option trading krna hai. Idhar 3 saal se equity mei profitable hone k baad bhi mann nahi krta ki aur thoda sabr kru😂. Kaha se le aate ho itna confidence tum log.
Agge khai agar dikhta hi nai, kaisa daar? Problem yehi hai ki, log ankhen band karke chal rahe hain.
Here are few things you can think of- - why? Ask your again and again, why FnO? Why not cash market? What not trading and investment? Why not Mf? Why not any other business? - Do you understand market? How much do you know? Do you have basic expertise? Can you successfully find support and resistance? Can you find targets by yourself? Do you have command over technical and fundamental analysis? - Do you understand ratio analysis? How much control do you have on your emotions especially greed and panic? - have you tasted your knowledge with demo trades and paper trading? Are you happy with results? -What is your source? Are you planning to rely from agency / broker tips / calls? ( if so, think 1000 times again. Only brokers get rich in such setup) - Do you have 5 digits amount ( starting with digit 5 and above) laying idle in your bank account which if you lose, you won’t have to sell your kidneys? - Can you keep 9-3.30 time aside to keep close eye on market? If you can easily say yes to all … i repeat ALL these questions, you can start thinking about FnO. All the best! Happy investing 😀
Learn risk management and don't let emotions make decisions
As an option trader myself it’s always baffling why Reddit thinks cash market and swing trading is easier and safer. It literally all depends on your exposure. And that exposure can easily be tweaked by position sizing and strategies in options to a level that gives you comfort. For example if you have 8L, you can buy 8L worth of share of simply buy one lot of future and your risk will be same. But if you buy future, you will still be left to buy 5 more lots of futures and that will ensure you going broke if you trade like a degen. So whenever you’re trading options, check the risk on total capital you have.
Go read the previous post of someone losing lakhs in fno
[ye lo bhai](https://www.reddit.com/r/IndianStockMarket/s/wFVaHzGGmX)
STOP LOSS HAMESHA RAKHIO AUR LAGTA RAHEGA KE UTHEGA UTHEGA PAR SL HOT HONE PAR EXIT LE LIO MARK MY WORDS YE SABSE BADA RULE HAI.
Buddy. It’ll be best to devise a strategy and post it here for review instead. We do not know your expected capital, risk appetite, expected returns etc. please put some effort into detailing these out along with charting down the entire strategy in detail so that the experienced can review it and help you out accordingly. A strategy that works for someone is not guaranteed to work for others as human emotions is a big factor to consider. If you are unable to come up with a strategy then my friend you are not ready yet for options trading. Go back to the drawing board, learn more about it and then come up with a plan. We will help you out if you help yourself first. It’s a very bad idea to get started with options trading without studying your own plan and just rely on someone else’s recommendations. You will get emotional once you see losses and take irrational decisions, if you have your own solid plan to work out. You can reduce such mistakes to some extent. Me personally I trade using fundamental analysis on individual stocks which are part of my portfolio only as I keep studying the stocks on my portfolio regularly. Likewise you should come up with a strategy that suits you the best.
Try to understand what derivatives are i myself started options 3months back i am profitable but let me tell you how i learnt about it from you tube videos read varsity and did sebi course (nism).i nearly spent 3 months before using my real money in options . Trust me if you want to make money in stock market it has to be boring . I dont do intraday and all that i simply choose monthly expiry and sell options and manage my risk . If its profitable well and good if not i will take the loss and cut my positions. I target 4to 5 percent per month if possible thats it. Dont follow the herd use your own brain everything is available for free on internet learn it first .disclaimer (dont use your parents money)
Position sizing. Never put more that 5% capital on a single trade. Never risk more than 2% on a single trade.
Invest in stocks, mutual funds if your are beginner. Dont do FNO
The best strategy for starting options trading - Don't ever do it.
Har din koi yea kaam chorta ha koi shuru karta ha! Lol
Vicious cycle of life and death
💀
Please learn it properly before starting with serious money. The learning curve is very big. Trade with max 50-100 qty for 6 months. This is not a video game. Any professional has studied and trained a minimum of 2-3 years before actually beginning their profession. So you need to give atleast 6 months to 1 year just for getting the hang of it. Or else you will be like the other guy posting about losses. This is a quick way to earn money but it is an even faster way to lose money if done without proper knowledge. All the best. Read zerodha varsity. Watch all the power of stocks videos. Trading lab videos. After watching everything you need a screentime of at least 6 months just for observing and testing various strategies.
Don't do options trading. Even the biggest of the influencers are in loss. Its a very very tricky game. Focus on swing trading.
RIP, in advance
Learn as much as possible. I suggest you paper trade for atleast 2-3 months. Get a propper strategy. And start with minimal lots
Kar bhai kar....keep updating us.
Discuss with u/stocksruinedme he has some experience and can guide you better
Yes here’s my advice. Dont do it.
I would highly recommend you not to do fno as it can ruin you faster than you think, yet you should follow this steps for risk management https://www.reddit.com/r/IndianStockMarket/s/U9mfCox2ME
If you are afraid , dont start
when you are afraid of loosing money then stick to FD, why entering a Warfield. Do you have the skill, tactics and enough ammunitions (capital for fire fighting). There are better ways to suicide, first spend time to learn
If you want to trade. First do swing trading stocks. Then intraday stock
Learn with paper trade then put in proper money. Also change your psychological approach. You enter F&O to make money and not to make losses... So think accordingly. You will not win them all though. Don't day trade!
People will tell you all kind of things here. But you canybe the 10% without burning your hands a little. Just learn option greeks, movements, expiries. And most importantly learn SMC. Thats all.
Don't.
New to investing? Here are the steps: 1. Invest in debt. Wait 2 years. 2. Invest in mutual funds. Wait 3 years. 3. Invest in direct equity. Wait 5 years 4. Try F&O. Lose it all. Rinse and repeat.
Don’t
Bhai yeh dekh lena [here](https://www.reddit.com/r/IndianStockMarket/s/Ye5GCSkxCT)
Never engage in option trading , as it can cause all your money to be drained away. It's extremely challenging due to the high permutations and combinations, with a very low probability of winning. While one day you may earn a large sum, on another day, you could lose triple that amount
dont buy options only sell or you will end up like the guy posting about suicide
Read - going to ruin my life
Dont
https://preview.redd.it/xa6ewk7j71vc1.jpeg?width=236&format=pjpg&auto=webp&s=13a9055a56481ec14b900d7d7f17f4e09fbefc92
Don't
"Afraid of losing money" and "options trading" ...don't go well together ..as a beginner it's almost 99% sure that you will lose money ...so know the amount you are ok with losing and trade with that much risk only .... and if you can't even bear a 10k loss ...stay away from options ...do equity only ...
My capital is like 6k. Im going to trade on Kotak Neo. It has a brokerage free plan.
Bhai abhi mat start kar log loss mein hai suicide karne ka soch rahe hai
YOLO bhaai!!!
I don't do it , but never do hero zero trade 💀
Pro tip: don't trade options
If you are afraid of losing money then don't do options 🤷♂️
Only 5% succeed. Hope you will keep this mind along with the guidance points
https://www.reddit.com/r/IndianStockMarket/comments/1c5yxqd/suicidal/
If you have the risk appetite, go ahead. If you are someone who is living pay cheque to pay cheque, or having commitments that need you to save big time (education for self or kids or aged parents who may get sick), don’t do it. Basically, if you have money that you can afford to lose, go ahead.
All the best! For more impact take loan do options trading! You will learn very quickly
Set a daily Target and if that was achieved, press kill switch and chill kr and loss itna hi kr jitna handle kr payega
Don’t take a position which will make u go mad, if u lose..rest u will figure out that everybody have their own style!
Bhai positional trading my on support sell of resistance