Buying Call and Put Options - Options beginner strategies

About this course

  SECTION I - BUY A CALL OPTION (CHIPOTLE MEXICAN GRILL)    Buying a Call Option is the most basic of all the Option strategies and is the most efficient strategy to optimize a bullish outlook on a stock. In this course, we take the example of Chipotle Mexican Grill (CMG) and show how the trade played out. We analyze the rationale behind entering the trade, the risk/reward profile, chart analysis and point of entry, choice of expiry and "moneyness" of the Option, time decay considerations, margin requirements, profit expectations, exit criteria, Greek analysis, its Profit and Loss profile and various other considerations. We provide a 360-degree analysis before trade entry. This is a real trade and over 15 days, and we navigate the trade to its exit point.  What you will masterWhen should you consider a Stock for a Long Call positionWhat are the criteria for good entryWhat are the Implied Volatility and time decay considerationsWhat should we look for in terms of changes in Implied VolatilityHow do we analyze the Pilot's "map" - the Profit and Loss graphWhich Option strike price should we choose to optimize our positionWhich Option series should we choose when buying call optionsWhen do we exit - what is a good profit pointWhat external market considerations should we watch forUnderstand the ROI (Return on your investment) metrics of a trade        SECTION II - BUYING A PUT OPTION (FXE EURO ETF)    Buying a Put Option serves two purposes - exploit a bearish move in the stock or be the ultimate protector of your stock. In this part of the course, we take the example of the Euro ETF (FXE) and show how the trade played out in about 25 days time. We analyze the rationale behind entering the trade, the risk/reward profile, chart analys