Options trading 5 biggest mistakes

 Options trading 5 biggest mistakes

Options trading in share market is very risky and unbelievable. When you trade for money making you have to learn some basic points and these points are very important for options trading. To avoid options trading mistakes you have to know some points.

1. Taking deep OTM (out of the money) Pe or Ce. This is very common in options trading for beginners that they are used to taking Deep OTM strike price. So avoid it because the decay in deep OTM Put or Call very fast and quickly. 

2. Without knowledge entering in the market. So this is the second point you entered in the market without knowing analysis that how it works? And this is the most important factor of losing money in share market.

3. Waiting for another Tips. This is also most important factor that you have Nil knowledge but taking advice to invest or trading from another group. They only exhaust your money. So stay away from them.

4. Risk to Reward. When you trade and taking losses and profit. The losses must be minimal but the profits can be unlimited. But Many traders comes to the market and start taking big losses and small profits. So manage your risk to Reward ratio. This will help you to make profitable trader and work on your knowledge.

5. Big capital. New trader comes to the market and start with a big capital. And losses all his money. Taking big risks with with big lot size positions. So when you comes to the market trade with small account and learn the market. Do not trade without Risk Management. 

So these are the some important mistakes of options trading that will be avoid if you want to be a profitable and successful trader in your life.

 For more information in details watch the video. https://youtu.be/ekpQlusBksU

Options trading 5 biggest mistakes

Note : this is only for educational purposes. Trade at your own risk.