How can I enter option trading as a beginner?

 Friend,

If you follow me then you must know better that I like to answer questions keeping reality in mind. Sometimes a person may like the advice and sometimes he may not. Especially a new investor, I believe, hardly likes my advice.

Anyway, it is my job to keep the reality.

You want to know how to enter option trading as a beginner?

If you are really a new trader and do not have the knowledge and understanding of the market, then avoid option trading blindly for at least a period of one year. I am not saying that its analysis (research) is much different from other platforms but some things really put a new trader in a lot of trouble.

Like:

1) If you trade options then the selection of quantity is not in your hands. If you go to trade in any stock or index, the minimum quantity is already fixed there and you cannot take less than that.

2) Due to lack of understanding of expiry and premium melting, even sitting in a profitable trade, you will not be able to earn as much as the profit made on that trade.

So it is best for a beginner to understand the market movement by trading with very low quantity. And this is possible only by trading in equity stocks. With time we also gather courage to bear the speed of options but in the beginning it is not right.

Hope the post will be useful for you.

Thank you

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