A Beginner's Guide to Options Trading

By Dharmaraju BK

A Beginner's Guide to Options Trading is a simple and practical introduction to the fascinating world of options. Written especially for beginners, this book explains options trading from the ground up, without assuming any prior knowledge of derivatives or financial markets.
What exactly is an option? What are Call and Put Options? How do Strike Price, Premium and Expiry work? What do ITM, ATM and OTM mean? How is an option's profit or loss calculated?
This book answers these questions in simple language, using practical examples and easy-to-understand explanations.
You will learn about: The basics of Call and Put OptionsOption Buyer vs Option SellerStrike Price, Premium and ExpiryITM, ATM and OTM optionsIntrinsic Value and Time ValueOption Payoff, Profit, Loss and Break-evenHow to read an Option ChainLTP, Volume, Open Interest and Implied VolatilityBuying Calls and Buying PutsSelling Calls and Selling PutsCovered Call and Protective PutBull Call Spread and Bear Put SpreadTime Decay and Implied VolatilityPosition Sizing and Risk ManagementCommon mistakes made by beginnersPractical NIFTY examplesA simple checklist before entering an options tradeThe book also introduces the reader to the practical side of options trading, including how to find an option on a trading platform, select an expiry, identify the ATM strike, and understand the information displayed in an option chain.
Most importantly, this book emphasises risk management. Options provide leverage, which can magnify both profits and losses. Understanding the risks is therefore just as important as understanding the potential rewards.
Whether you are completely new to options or have some basic knowledge and want to strengthen your fundamentals, A Beginner's Guide to Options Trading is designed to help you build a solid foundation before taking the next step.
Learn the basics. Understand the risks. Practise carefully. Trade with discipline.
Note: This book is intended for educational purposes only and does not constitute investment or trading advice.

• Format: Paperback
• Language: English
• ISBN: B0HMFTVHQH
• ISBN13: 9798161052525
• Release Date: October 2026
• Publisher: Independently Published
• Length: 100 Pages
• Weight: 0.32 lbs.
• Dimensions: 0.2" x 6.0" x 9.0"