#dualoptions

INTRODUCTION

Practicing and following some strategies can earn you money through trading. It is quite easy to recognise an experienced or a professional trader by the way they trade. Wait patiently for a better trading opportunity even for weeks together is one of the virtues of a professional trader. Trading can be a form of gambling, so professional traders handle it with intelligence and some tricks. They make sure not to get addicted to the market by avoiding trading all the time. Gathering knowledge by carefully analysing the market instead of indulging in trader is what make them professionals.

WHO IS A WINNING OR A LOSING TRADER

The person who is addicted to trading is probably the one who losses the trade. Frequent trades are executed to overcome these recurring losses by the trader. A trader who is motivated by emotions rather than anticipation is heading towards addiction.

On the contrary, a professional trader knows how to handle his emotions and trade sensibly. Whatever the market conditions are, the one who doesn't get carried away by emotions can only be a successful trader. Anticipation is an essential talent to mature as a skilful and professional trader.

OUTLINES TO BUILD A TRADING PLAN BASED ON ANTICIPATION

PREPARATION

Prepare yourself for the trade without any doubts and with a clear mindset that will pay you off. Evaluate yourself and get to know where you lack.

Be mentally prepared, set a perfect entry, form strategies, set your stop loss, set risk levels, set perfect exists.

MAPPING THE CURRENT MARKET

The one way of anticipating your trade would be advanced mapping. What precisely you are doing is getting a broader picture of the weekly trend well in advance. Performing daily and weekly charts analysis will help the trader understand the market situation in a better way. Most of the professional traders follow the same modus operandi thus it is recommended for all those you want to be successful traders.

DISCOVER THE ENTRY POINTS TO MARK FOR

Since an entry is more important than anything, review the charts that you have already recorded, each time you traded. Noticing the pattern will make it easy for you to pick a perfect trade entry. When you observe an entry triggers in an area that you have earlier mapped in the charts, you can rest assure to execute the trade without any doubts.

RISK MANAGEMENT

While trading a trader is risking his hard earned money, so it is necessary to dedicate significant time to analyze the risk involved and manage it efficiently. Assessing the risk involved, identifying it and managing or moulding the trading strategy a trader will be able to make appropriate decisions and execute the trade. Following other traders might not help all the time, self-belief and calculated risk management will mould you as a better and safe trader.

CONCLUSION

Options trading has become so popular in the past few years, pulling in a lot of newbies with the hopes of earning money. Yes, with options trading you can earn money but behind the stage, there's a lot of hard work and efforts you have to put. The first step should be knowing what you are getting into. Here are 5 facts about options trading that could help you gain a basic understanding.

1. OPTIONS TRADING GRANTS YOU THE RIGHT TO BUY OR SELL INSTRUMENTS:-

Options trading can be practiced on different instruments like commodities, forex, futures & more by choosing the best options trading platform. When trading options, you get the right to buy or sell an underlying instrument. You just have to be sure about the instrument you are going to invest in, which requires a bit of research and a lot of analyzing skills

.2. IT IS EITHER A CALL OR A PUT:-

With options trading, things are always kept simple to the ground. The entire currencies options trading process relies on only two options. It is either a Call or a Put. When you feel that the price of the underlying asset is about to rise, you go for the call option. When the markets go the opposite way, you opt for the put option. It's just that you have to be able enough to predict the markets before you decide for yourself.

3.THE EXPIRY TIME PERIOD:-

Every option you buy comes with an expiration time, after which you lose your right to exercise the particular option. You can neither buy nor sell the option once it expires which is why you have to take calculated decisions and decide time frames when you buy an option.

A lot of investors have started to trade options believing that with options trading, they could make huge profits. Well, that’s true provided you have the right understanding and the expertise skills needed. Most traders fail to understand the fact that every trading format needs a thorough understanding and are often driven by the urge & motive to earn money. Options trading could multiply the opportunities for achieving your goals, only if you have a perfect understanding of how to trade & how it works also by choosing the best options trading platform.

Here are 5 simple steps that could help you trade options right from the beginning.

CHOOSING THE RIGHT OPTION BROKER:- Every now and then, a new options broker emerges out of the blue offering the most lucrative offers and bonuses. Make sure you do not get swayed away by the offers. Offers mean nothing when you are not able to make profits and reasonable trades with a broker. Make sure you check the credibility of the broker more than once before you sign up.

CHOOSE YOUR COMMODITY:- Once you have finished exploring with the options trading app, it’s time that you actually start to trade. You have to choose the commodity you are going to trade with. It can be currencies, soft-commodities and anything your broker has included it in the array of commodities.

PREDICT WHERE THE PRICE WILL GO:- Remember that some random prediction isn’t going to help. Make sure you do your homework by studying the markets & updating yourself on the same. An educated guess can make your career better. So, make sure you predict the market close to be on the winning side.

MAKE IT WORK:- Once you are confident enough about your prediction, it’s time to make it work. If you feel that the market is about to take a rise, you can hit the “Call” button. Similarly, if you sense a downfall in the prices, you can go for the “Put” button then. Once your trade ends and if your prediction is right, you get to win the trade and make a profit.

LEARN FROM THE TRADES & USE IT FOR THE NEXT:- Your trade could either be a win or a loss, but make sure you find the reason behind the result. Analyzing the reason behind your trade results can help you identify the flaws you have been making and can influence your trading decisions. It’s better when you make predictions knowing all your weaknesses & strengths.

Currencies options trading can be the best way to earn money and make profits in Options trading if you have everything that is needed to become successful options trade most of them fail because of their lack of knowledge and the understanding as of to how things work. Learning the basics and understanding is the first step.

Options trading has been in existence for around 4 decades till date but it is only now it has gained attention. Back then, due to lack of understanding and calculation, many traders have had nightmarish experiences while trading options. Eventually, the word spread out and most of the traders avoided trading options on a notion that they were too risky and difficult to understand. The beliefs have finally changed now and traders are beginning to understand and embrace the benefits of options trading.

What is Options Trading?

An “Option” is a type of derivative security which can be bought/sold at a specified price & time. The buyer is free to buy and he is not obliged to buy at a specific price or date and hence the name “Options Trading”. Every form of trading has its advantages and options trading is no exception to this rule. Here are the 4 benefits of options trading and forex options trading you should definitely know.

1. Offers High Liquidity

Since options trading is practiced widely nowadays and many options trading platforms are available, no doubt there’s high liquidity. Liquidity is one important factor and an advantage that helps traders be on their feet. High liquidity means you have lots of opportunities to invest and make profits. Just make sure that your entry and exit points are calculated!