Options Strategies Explained: From Basics to Advanced Trades

Options Strategies Explained: From Basics to Advanced Trades

Unlock the full potential of options trading with this practical and easy-to-follow 30-page guide. This is all you need to get started and succeed.

Options Strategies Explained breaks down the often-confusing world of options into clear, structured, and actionable strategies — perfect for traders at any level.

Here's what’s inside the book:

Chapter 1: Introduction

What Are Options and Why Trade Them?

Chapter 2: Options Basics

Calls and Puts Explained

Understanding Option Contracts

Key Terminology You Must Know

The Greeks: Measuring Option Sensitivity

Chapter 3: How Options Are Priced

Intrinsic vs. Extrinsic Value

Factors Affecting Option Prices

Volatility and Time Decay

Chapter 4. Option Chains, Order Types, and Execution

Understanding Option Chains

Order Types for Options

Tools for Analysis and Execution

Chapter 5: Core Strategies for Beginners

1. Buying Calls

2. Buying Puts

3. Covered Calls

4. Cash-Secured Puts

5. Protective Puts

Chapter 6: Advanced Option Strategies

1. Vertical Spreads

2. Iron Condor

3. Butterflies

4. Straddles and Strangles

5. Calendar and Diagonal Spreads

Chapter 7: Strategy Selection and Trade Planning

1. Define Your Market Outlook

2. Analyze Risk-Reward and Breakeven

3. Use the Greeks to Gauge Sensitivity

4. Plan Your Entry and Exit

5. Position Sizing and Risk Management

6. Maintain a Trade Journal

Chapter 8: Real-World Case Studies

Case Study 1: Bull Call Spread on AAPL

Case Study 2: Iron Condor on SPY

Case Study 3: Long Straddle on NVDA

Case Study 4: Covered Call on MSFT

Chapter 9: Psychological Aspects of Options Trading

1. The Emotional Roller Coaster of Options Trading

2. Controlling Your Emotions

3. The Impact of Stress on Decision-Making

4. The Importance of Self-Reflection

5. Overcoming Common Psychological Pitfalls

6. The Role of Confidence in Trading

Chapter 10: Risk Management in Options Trading

1. Why Risk Management Matters

2. Position Sizing

3. Defined-Risk Strategies

4. Use of Stop Losses and Alerts

5. Managing Greeks Exposure

6. Diversification of Strategies and Symbols

7. Avoiding Overtrading

8. Risk-Reward Ratios and Probability

9. Emotional Discipline and Trading Plan

10. Hedging and Portfolio Protection

Chapter 11: Building Your Options Trading Plan and Routine

1. Trading Plan

2. Daily and Weekly Routine

3. Backtesting and Paper Trading

4. Developing a Trader’s Mindset

5. Final Checklist Before Every Trade

Conclusion: Mastering Options – A Journey, Not a Shortcut