If you are a regular reader of my articles, then you know “I hate technical indicators”. They are a derivative of price action, nothing more than a mathematical complex paralysis. My clients frequently question me-“Hey do you use any indicator”? Most probably my reply will be no-because majority of you guys know, I am a pure Price action trader!
is one of the best option analaysis tool for Indian stock markets and Option traders in india had a strong affinity towards that open source tool. However in recent days the tool is not working for Indian markets which hurts a lots of strategic option players in India. And Santosh Kumar Pasi) has the solution for this and recently released NSE Plugin (v 1.8.4) for Options Oracle.
Covered call and Covered put are both one of the best option strategies for those who trade in F&O segment. These strategies are used for reducing the loss if trade goes against our expected trend. F&O is a risky segment which always needs protection for the trader if something goes wrong unexpectedly in the stock.
Butterfly spread is a good strategy when there is not volatility. This strategy also has self protection against big moves. However this can also produce limited amount of loses when market makes big moves. This strategy can be executed with calls and puts.First let me take the execution of the butterfly spread using calls.