Buying CALL vs Selling PUT Option: There's a HUGE Difference!
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- Опубліковано 27 лип 2020
- Difference Between BUYING PUT OPTION and SELLING CALL OPTION. Or Are They Same?
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Topics covered in this video:
- Buying CALL Option vs Selling PUT Option
- Selling CALL Option vs Buying PUT Option
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#BUYINGvSELLING #Options
Yes...Sellers will win most of the time because they have friend called TIME DECAY.
How to buy or sell option whose price is not opened yet
@@govindrajgovi8982 wait till price window gets open
@@govindrajgovi8982 go with Full Fledged Broker they allow to Trade in Deep ITM CE & PE . If you go with Discount Brokerage house you cannot just because because of running behind cheap Brokerage.
@@babydoctor76 thank you
@@adilgovind2156 thank you... Would you suggest any brokers related to your comment
OPERATION SUCCESS PATIENT DEAD 💀 😂 😆 🤣
lololol :)
Hai sir my very long doubt is fulfilled by seeing this video. One more doubt being a buyer the BE is strike price+premium. But within few minutes of buying a strike price we are getting profits and closing the trade. Kindly explain.
Sir I follow ur channel alot like other one youtube channel which is WORLD STOCK MARKET INDEX & STOCK IDEAS there youtuber gives calls, which stratedy or which techniques he uses i dont know. sir but my point is which technique he is using so he is getting all his Calls perfect on WSMI&SI channel. Pls reply me.
@@piarani5721 sir is too busy with other work .let me know what's your query
@@sundararaman6249 becauase profit will come untill expiry when market goes up, but at the end of expiry if market not crossed strike price plus premium, then option become zero and loss occurs
Thanks for so beautifully answering a long long standing question that I had in my mind. Best wishes Sundar sir !.
Sir, the cases, namely 5 cases : highly bullish, moderately bullish, flat, moderately bearish and extremely bullish, will matter only when the option buyer holds the option till the expiry date and wants to exercise it. But that is not the case, no option buyer would hold their positions till expiry date. Most of them do intraday trading and try to gain the profits from the prices of the option premiums due to fluctuating IV. Yes if you hold your position till expiry date, then what you said holds true.
Agree 👍👍
100% correct.
The biggest enemy of option buyers is THETA. This 1 parameter has eaten my money multiple times. Good explanation.
Sir I was going through UA-cam channel WORLD STOCK MARKET INDEX & STOCK IDEAS there in that UA-camr gave positional call for weekly like Jubilant life, Aurobindo, Nifty Futures there I found all the calls last week + this week are hitting the target like butter on the bread. Can u tell which strategy that UA-camr is using. Thank you.pls.
@@mohammedkhalid10 In this world of stock market nobody can win all the time. If someone like that exists then he will be the richest person in the planet. Even Sundar Sirs Infosys trade is going against his prediction.
@@tanson86 thank you sir. I think I should trade as long as I m getting profit.
Sir I follow ur channel alot like other one youtube channel which is WORLD STOCK MARKET INDEX & STOCK IDEAS there youtuber gives calls, which stratedy or which techniques he uses i dont know. sir but my point is which technique he is using so he is getting all his Calls perfect on WSMI&SI channel. Pls reply me.
Well, it worked totally opposite for me. I prefer buying over selling. I've a fixed target and SL. Though 90% of my trades do not last more than 30mins.. fridays and Mondays are the best time buy. Even Tuesdays are good. Avoid buying on Wednesdays. Thursdays are amazing too if you know what you're doing... Id suggest buy options for the next week on wed-thurdays.🙂
Thanks for this video sir. Many people say that you are slow. But it's really not. Your videos are of high standards and not like just predicting stock prices which other you tuber's do. Each every line that you speak is very important for beginners. Thanks for doing this!
Simply explained the confused options.
Your style of soft talk makes me to trade more efficiently in stock market.
Thank you sir
Option strategy made clear. Nicely explained to a person who is new in this field. My perception for option modified.
You are a very good teacher. A natural knack for teaching it seems.
thank you sir, for this video I really understood the meaning of selling options and I appreciate all your videos in which you speak calmly and slow, keep up the good video
To explain the difference you need to cover 2 things
1. Chances of winning 1/5 vs 4/5 - good work
2. Risk potential. You can lose a lot if it goes horribly wrong selling puts/calls whereas the downside is limited when buying puts/calls
Then you buy lottery tickets.
THIS! Suprised that he didn't talk about this.
Who told you to sell naked calls and puts
You can always buy a cheap hedge
Thank you !! For clearing my doubts .
Sir no words to say thank you to you, how clearly you have explained , please please request you to consider making this kind of videos more. And congrats for reaching 2L subscribers.
You way of making us understand is really great.. by the way which part of Singapore you use to live, i was there for very long time.. I use to live in Tampanies, recently moved back..
Difference was explained to the benifit of your admirers and followers.. really path breaking
Keep on telling such secrets sir
Good explanation...But only MONEY Begets MONEY.. More Capital then go for Put option selling...Less Capital then stick to call Option Buying and face the Music....Very Nicely presented....
Nice.. Before viewing this Video I thought the Odds ratio is 1:2 (Bullish-- Consolidation & Bearish)
But now I got that the Odds ratio is 1:4.
Thanks :-)
Very clearly brought out.thanks
i watched numerous videos and didn't understood option trading and it's profit and loss process and how to choose the price but once i saw you're video i am crystal clear about it thanks a lot .
Also sir, when market is extremely bullish then call buyer will make huge money but put option seller will make a limited profit of premium collected.
सही है भाई
But this also has chance only 20%
@@TraderMAK so that's the tradeoff in the equation -> prob x profit
May be 2 cases you may be begginer or you making money in option buying..... beware BUY word in option...😂🤣
@@akashnv7403 actually I only sell option 😝 Because I am not good at predicting market movement
Really its a great honor to listen this. You are an expert sir. Great.
Very nicely explained!! I have started watching your videos only recently and I find your approach very practical and balanced. Thanks a lot.
Thank you for explaining it in a simple way. Thanks a lot
Thanks so much Sir, for explaining this difficult but essential aspect so well.
Hats off to your efforts for sharing 'knowledge' which is 'wealth' for us.
My first lesson on Calls and Puts. Thanks for the starter Mr Sundar
Beautifully explained, thanks a lot
You are absolutely correct the chances of buyers to make money are 20%-30%. But for smart buyers if they know when the momentum starts in the market and they ride the momentum they make 2x to 10x profits. Today in Nifty I bought ATM option 3rd Aug expiry at 12:30 pm and by 3:30pm I made 25%-30%roi. So you see with 1/10 of capital requirement of a seller, I made 10x profit more than what a seller makes. To negate the time decay I always buy the next week expiry. I am a new option trader, before that I used to trade commodity. When market is sideways I sit and watch Netflix 😊
True I always go OTM strikes on expiry day and achieved 70% to 80% as soon as I identify a momentum in advance
Excellent presentation sir. Easy to understand. I will learn more on selling options sir. Thank you!
This was so well explained video. I listed to it multiple times to clear my doubts. Thanks a lot for creating such a wonderful video.
Super.clear picture about this & the way of approach is great
kitna mast shaanti se explain kiya! no adrelnaline rush , no like share subs... respect!
I had been searching for this answer since almost 2 years. Got cleared n nicely explained. நன்றி sir
Maybe you have poor skill for searching haha
A great advantage of selling puts on margin is that you don’t have to pay interest on the margin ( unlike selling calls )
A very clear explanation. Thanks!
அருமையான விளக்கம் ,இந்த எளிமையான கருத்து பசுமரத்தாணி போல் பதிந்தது ! நன்றி
Sir I follow ur channel alot like other one youtube channel which is WORLD STOCK MARKET INDEX & STOCK IDEAS there youtuber gives calls, which stratedy or which techniques he uses i dont know. sir but my point is which technique he is using so he is getting all his Calls perfect on WSMI&SI channel. Pls reply me
love you sir! thank you so much for the explanation.
Thank you for the explanation. Very well explained.
Super Explanation.. Thanks a lot.
Respected Sir,
My thinking directions about Options have changed. Thank you Sir for your superb explanations slowly & calmly.
Regards.
👌👌👌☺☺☺🙏🙏🙏
.
Thanks for educating us.
Really very clear sir.. Thank you for the simple and clear clarification
Sir, I have this doubt for a long period. But don't know how to ask exactly to the point. This video clearly clears all my doubt. Thanks you sir
Holycrap! I understand lol thank you so much.
thank you for teaching us.
Very nicely explained..I have this question in mind but now got the answer thanks a lot
Thank you sir.. so clean and clear...
Now I get the whole idea perfectly 👍🏼 thank you sir
Simplicity and logical thinking is sufficient to make money ... you are great example of the same !
Thank you sir for clearing this, I was thinking both are same
Excellent clarification sir, thank you so much.
Thank you very much, Sunder. Nic explaining about option strategies.
Excellent detailing.
Very nice learning and more thanks.
Excellent explanation as always
Nice video......... Love your honesty........
Wonderful Explanation
Very clearly explained in detail sir. Thank you very much.
Thank u very much..
Very well explained sir!
Very simply explained.
you have an extraordinary capability of making things knowledgeable to us.
Beautifully explained. You are a good teacher sir.
A very simple but very very valuable video for option traders. Thank you sir.
Nicely Explained sir...just got cleared now.....Thanks.
Eye-opener concept sir.
Thank You!
Valuable knowledge, Thank you Sir
Thanks for clarification sir
Thank you sir for your selfless efforts to explain valuable information 👌🏾🌹👍
slow and steady description and listeners grasp the point of topic
Thank you very much sir,
for your valuable explanation regarding how option buyers and sellers are benifited
Thanks a lot Sir, more such videos requested 🙏
Thank you Mr P R Sundar!
In last trade saved money by hedging as used to exit Nifty when it goes against to my view but this time I have hedge the position when it was going against to my view and this worked out superbly in fact I could have made profit if waited for some time as exit when recovered the loss ..Thanks for educating ..
Superb explanation. Thanks.
Nicely explained.uncovered the secrets.
Very well explained.. Thank you sir for this video.
Well explained sir, thank you.
Very well explained
Super explained.
very clear sir, thank you,
volatility also helps option buyers to make money. One does not wait till expiry hence buying options if exited timely would help buyer make money.
Thank You sir. Very useful info.
Sir, your explanation is very simple and easy to understand, thank you very much sir .
I am an option buyer since 1 year had made Good profits but at the same time I lost money tooo and it takes firefighting back to cover loss as you mentioned sir, but I tried option selling with less capital it was less risky and made some decent profit of 5 percent profit of my phone capital
Tysm🙏
He is talking about expiry day scenario, if you buy ATM or itm options one day before expiry with reasonable premium, every one will make profit.
very nice explanation thanks
Explained complex in simple ....Thanks sir.
Sir superbly explained with so simplicity. Big fan of your.
Great Explanation Sir... Thank You
liked the way u have explained
Excellant explanation sir .
Now I got complete clarity.
What is the margin money differences in both cases
So nice sir, simple, clear n to d point....great... thx...Regards
Clear explanation...
Thanks a lot sir for this information
One of the best and most imp videos for Option beginners. Thanks Sir 👍
thanks sir. Very clearly explained.
Very good explanation sir ! Very Cleared. thank you
OH man !! This guy went from adjustments to teaching basic option selling
What is wrong
Sir I follow ur channel alot like other one youtube channel which is WORLD STOCK MARKET INDEX & STOCK IDEAS there youtuber gives calls, which stratedy or which techniques he uses i dont know. sir but my point is which technique he is using so he is getting all his Calls perfect on WSMI&SI channel. Pls reply me
@@vijaydev5569 Because I personally lost money with his earlier calls
Thank you