Futures & Options (F&O) Trading

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πŸ’Ό Futures & Options (F&O) Trading

Welcome to the Futures & Options Trading Module by Punjabi Share Bazar β€” your complete guide to mastering the world of derivatives in the Indian stock market.

Whether you’re looking to hedge your investments, speculate for profit, or simply understand what F&O is all about, this section covers everything you need in a step-by-step format.


πŸš€ Why Learn Futures & Options?

F&O trading gives you the power to:

  • Trade in larger quantities with limited capital

  • Profit from rising and falling markets

  • Manage risk using hedging strategies

  • Enhance returns when used with proper risk management

Now let’s explore each concept in detail πŸ‘‡


πŸ“˜ 1. What are Derivatives: Futures vs Options

A derivative is a contract whose value is derived from an underlying asset like Nifty, Bank Nifty, or a stock.

You’ll learn:

  • The core difference between Futures and Options

  • Why traders use derivatives

  • Where and how derivatives are traded (NSE F&O segment)

  • Real-life examples of how prices move in sync with the underlying

This module breaks it down in simple terms using charts and analogies.


πŸ“¦ 2. Basics of Lot Size, Margin & Expiry

F&O trading is done in fixed lot sizes (e.g., 50 shares in Nifty 50).

You’ll understand:

  • What is a lot size and why it’s important

  • What is margin and how much capital is actually required

  • The concept of expiry (weekly & monthly contracts)

  • How margins change based on volatility and risk

We’ll also cover broker margin calculators and how to use them.


πŸ“ˆ 3. Call and Put Options Explained (with Real Examples)

This is the heart of options trading.

  • Call Option – gives the right to buy

  • Put Option – gives the right to sell

You’ll learn:

  • How options work through real-world examples

  • What is premium, strike price, and intrinsic value

  • When to buy vs. sell an option

  • What happens if you hold till expiry

We also explain how you can profit in both bullish and bearish markets.


πŸ” 4. How to Read the Option Chain

The option chain is where traders find opportunity.

We teach:

  • How to access the option chain (via NSE or broker platform)

  • Key data: Open Interest (OI), Volume, Implied Volatility (IV)

  • How to spot support/resistance levels using OI

  • How to find bullish/bearish sentiment through option activity

You’ll learn how to use this data to build your trades.


πŸ”’ 5. Option Greeks (Delta, Theta, Vega, etc.)

The Greeks help you understand the risk and behavior of options.

You’ll learn:

  • Delta – Measures price sensitivity

  • Theta – Time decay of an option

  • Vega – Impact of volatility

  • Gamma & Rho – Additional control metrics

We explain how to balance Greeks when creating option strategies.


πŸ” 6. Basic Option Strategies

Learn simple but powerful option strategies:

  • Straddle – Expecting big move, unsure of direction

  • Strangle – Like straddle but with cheaper premium

  • Covered Call – Safe strategy for holding stocks

  • Protective Put – Hedging a stock against fall

  • Iron Condor (intro) – For range-bound markets

Each strategy includes:
βœ… When to use it
βœ… Risk/Reward
βœ… Chart-based example


⚠️ 7. Risk Management in Options Trading

Options are powerful but risky β€” without a plan, losses can be big.

You’ll learn:

  • How to define max risk before entering a trade

  • Setting Stop Loss and Target in options

  • Managing position size and capital allocation

  • Why overtrading in F&O leads to failure

  • Real trader mistakes to avoid

We help you build a responsible trading system.


πŸ“Œ Who Should Take This Course?

  • Traders who want to go beyond cash market

  • Beginners curious about options & futures

  • Students preparing for intraday or swing F&O

  • Anyone interested in hedging or passive income from options


πŸŽ“ What You Will Achieve:

βœ… Understand Futures and Options in depth
βœ… Learn to trade Calls and Puts confidently
βœ… Read Option Chain and use Greeks smartly
βœ… Build and test real strategies
βœ… Trade with proper risk control


πŸ“Ž Bonus Tools:

  • Live Option Chain screener tools

  • NSE F&O margin calculator

  • Strategy Builder platforms (Sensibull, Opstra)


πŸš€ Next Step:

πŸ‘‰ Ready to go from theory to real-time trading?
Move to the next module:
Forex & Commodity Trading – Currency, Gold, Oil & More

Or click Join Now to enroll and begin your F&O mastery today.


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  • Or connected to your LMS (e.g., LearnDash, Teachable, etc.)

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