Author name: sripada studios

Trading options on expiry day can sometimes feel like holding a lottery ticket. Ever heard of Option premium turning ₹1 into ₹100 in minutes? i.e. 100 times! That’s the magic of “Hero or Zero” trades — where cheap, expiry day options explode in value especially in the late-afternoon.  But what if you had the skill to catch those rare explosive moves that can turn a few rupees into lakhs within minutes? Hero or Zero trade Example: 16th May 2024 Nifty Expiry The Big Move – 16th May Nifty Expiry Nifty was sliding for most of the day on spot chart( in the above chart) But around 2:15–2:20 PM, something changed.  It broke above the 20 EMA line (on the spot chart) and made a strong 300-point rally, eventually closing near 22,422. Simultaneously, On the options chart(given above) 22,100 CE option was trading around ₹25–₹26 just before the breakout.  Within minutes, it shot up to ₹320. That’s a 12x return. If you had invested ₹10,000, it could have turned into ₹1.2 lakh in a flash. If you had the nerve to hold onto ₹1 lakh, you might’ve walked away with ₹12 lakh. This Isn’t Just Luck — It’s a Setup Let’s be clear — this isn’t really gambling.  This is a chart-based, high-risk strategy.  And it can only work under certain strict conditions. That’s exactly what happened on 16th May on Nifty’s expiry day. (And that is what I am going to me break it down in this blog — what triggers this kind of massive move, how a single breakout can change the entire game, and how someone could’ve turned a 1-rupee option into a 120-rupee jackpot in a matter of minutes) ⚠️ Disclaimer: This strategy has a low win rate. It behaves much like buying a lottery ticket — most of the time, your investment will go to zero. However, when it works, the payoff can be massive. Do not use borrowed money or your core capital. Only risk a small amount and what you’re willing to lose completely. Another example of Hero or Zero trade: 30th April 2024 Fin Nifty Expiry 30th April 2024 Example  FinNifty was in a strong up trending on 30th April(in the above chart). And around 2:30 PM, it suddenly reversed and closed below the 20 EMA.  In the above options chart, ATM 21400 Put Option surged from ₹10 to ₹250 — a 25x move in just minutes. That’s the true power of Hero or Zero trades. On expiry days, even the cheapest options can explode in value within minutes, turning small bets into massive gains. Now, let’s break down the Hero or Zero strategy into clear, actionable conditions so you understand when and how to trade it effectively, especially on expiry days. Strategy Conditions: Applicable only on expiry days  Can work only in the late afternoon (ideally after 2 PM) No Stop Loss — because you’re already risking only a few rupees Entry only if- It’s a trending day or even tight sideways day  Price closes above 20 EMA in a downtrend or below 20 EMA in an uptrend (in late afternoon) Option premium in single-digit (preferably below ₹10 or 5) You pick ATM or slightly OTM options Why No Stop Loss in Hero or Zero trades? If you’re buying a ₹2 option and placing a stop loss at ₹1, you’re already halfway to zero.  In this strategy, you mentally accept a 100% loss before entering — because if it works, the reward is asymmetrical. Another example of Hero or Zero trade: 9th Jan 2024 Fin Nifty Expiry Sideways Day Setup – 9th Jan 2024 (Fin Nifty Expiry) In the above chart, on 9th January 2024, Fin Nifty was a tight-range and it was a sideways day, and suddenly Fin Nifty broke a strong support post 2 PM with a full body red candle.  And now let us see below what happened with two different options strikes. In the above given options chart, ATM PE 21400 went from ₹10 to ₹250 around 25x, but OTM PE 21350 from ₹2 to ₹200, almost 100x So, why did different strike prices give different returns?That’s exactly what we’ll cover next — How to choose the right strike price for expiry day Hero or Zero trades. Which Option to choose? ATM or ITM or OTM? ATM vs OTM vs ITM Returns on 16th May Nifty Expiry Day (Breakdown of Option charts) In above given Nifty chart of 16th May 2024, we saw a strong rally in the late afternoon.  Now, using the different option charts below, let’s break down how different strike prices reacted and how their premiums moved during this rally. Strike Entry Price High Price Return 22,100 CE(ITM) ₹15-16 ₹320 ~12x 22,200 CE (Slightly OTM) ₹8 ₹220 ~28x 22,250 CE(OTM) ₹3 ₹170 ~55x 22,300 CE (slightly far OTM) ₹1 ₹120 120x But if you went for too far OTM like 22,450 CE, you lost your premium — it expired worthless. Because Nifty spot expired below 22450 level on spot chart.   Points to be noted here: ATM options may not give 100x or 200x, but chances of wins are slightly higher if direction goes right. Slightly OTM options can give good risk reward trades like 20x 50x and win rate slightly better Slightly far OTM can give like 100x kind of returns but very low chances of wins. Too far OTM better to avoid because most of the time it becomes zero. It is important to note that spot must close above that option strike at the time of expiry, otherwise that option becomes zero (like in the 22450 CE chart) The Psychology Behind these big moves Most option sellers assume expiry premiums decay linearly — from ₹50 to ₹40, to ₹30, and so on.  When an option hits ₹5 or 10, they think it’s safe to sell and it becomes zero. But when a breakout hits and price jumps from ₹5 to ₹20 to ₹50 — panic sets in.  Sellers start covering, which amplifies the move. This

Introduction: The Truth About Most Trading Books Let’s face it—most trading books are just polished versions of the same old playbook. They tell you to: Buy at support. Sell at resistance. Enter when RSI crosses 70, exit when it dips below 30. Memorize chart patterns like double tops, triangles, flags, and the all-too-glorified head and shoulders. You read one, and suddenly you’re having déjà vu by the time you’re on your third.It’s like attending ten different trading seminars and realizing every speaker just rewords the same strategies. And if you’ve read as many trading books as I have—over a hundred in the last decade—you start noticing the pattern.90% of them sound similar. The techniques are recycled, the language is different, but the core? Identical. But here’s the unspoken truth: Trading success doesn’t come from memorizing setups.It comes from understanding how price moves, why it moves, and how your mind behaves while it moves. Indicators can tell you what’s happening, but they can’t teach you how to think like a trader.Support and resistance are important, sure—but what happens when the market breaks through those levels and doesn’t look back? That’s why most traders—even after reading dozens of books—still struggle. They have the knowledge, but lack the psychological readiness and practical experience. In this blog, I’ll walk you through my top favourite books that truly transformed my trading career—the ones that cut through the noise, reshaped my mindset, and helped me transition from a confused trader to a full time trader The First Book I Ever Bought: My Sentimental Starting Point Book: How to Make Money Trading Derivatives by Ashwani Gujral Back in 2013, I was like many aspiring traders—eager to learn and desperate for success. This was the first trading book I ever purchased, and although it wasn’t a game-changer, it still holds a special place in my heart. Ashwani Gujral, a well-known face in Indian financial media, wrote this book with a focus on basic technical analysis, chart patterns, and a few F&O strategies. However, despite its title, the book barely scratches the surface of derivatives trading. What I liked: Easy-to-understand writing style Basics of trend analysis and options Insights from a seasoned trader What it lacked: Not enough depth on derivatives (as the title suggests) Very basic book for anyone beyond the beginner stage Nothing much in it for an experienced traders 💬 Sentimental value aside, I wouldn’t recommend this as a go-to book for derivatives. But it was a starting point, and I still have this one. This Book not included as a recommendation, but purely for sentimental reasons—it was the very first trading book I ever purchased A Turning Point: Discovering Price Action With Oliver Velez Book: Strategies for Profiting on Every Trade by Oliver Velez This book was a revelation. Oliver Velez didn’t just teach strategies—he helped me understand the why behind market moves. Before reading this, I was obsessed with indicators. But Oliver helped me appreciate the simplicity and power of price action, especially when paired with 20 EMA. Here’s what I learned from this gem: ✅ The Power of 20 EMA: It’s not just a line—it’s a dynamic level that helps you ride trends smoothly.  I still use it in 90% of my intraday trades. ✅ Trading Gaps: Gaps are not just empty spaces; they’re messages from the market. This book taught me to trade the open with structure. ✅ Opening Range Strategy: It introduced me to the idea that the first 30 minutes to 1 hour of market open set the tone for the day. This book laid the foundation for my price action journey, and I still recommend it to all beginners. The Book I Once Hated But Later Loved 2. Book: Trading in the Zone by Mark Douglas Let me confess something: I hated this book when I first opened it. Why? Because I expected trading strategies—and all I got was “mindset talk.” But a few months later, when I kept missing trades due to trading psychology, hesitated to pull the trigger, and struggled emotionally despite perfect setups—I gave this book another shot. And wow, it changed everything. Mark Douglas in this book doesn’t give you trade setups or strategies. He gives you something far more powerful—the ability to stay calm, rational, and detached and controlling your emotion while trading. Key Takeaways: ✅ Fear of missing out (FOMO) is your worst enemy. ✅ You don’t need to be right in every trade. You just need to follow your plan. ✅ Emotions kill your edge more than bad entries do. After reading this, I started to respect the mental game of trading, i.e. Trading Psychology. If you feel emotionally drained, lacking trading psychology or overthink your trades—this book is your cure. The Book That Changed My Entire System: The Secret of Pivot Boss 3. Book: The Secret of Pivot Boss by Frank Ochoa This book was the turning point. It gave me a complete trading system—from structure to execution. Until then, I’d never heard of CPR (Central Pivot Range) or the true power of pivot points. But after reading this book, everything made sense. Here’s what I took from it: ✅ Understanding CPR as a market balance point ✅ Using CPR & pivot levels for natural support and resistance ✅ Combining Camarilla levels, Volume Profile, and EMA for precision trades The strategies in this book are tailored to the US market, but I back tested and adapted them to the Indian market—and the results were incredible. To this day, much of my 25 intraday strategies is inspired by this book along with my own findings and my backtested strategies based on Indian market. This book is pure gold. Ashwani Gujral’s Best Book (In My Opinion) 4. Book: How to Make Money in Intraday Trading While his earlier book was basic, this one surprised me. It felt like Ashwani was finally sharing what actually worked. What made it special? ✅ Use of 20 EMA + CPR + pivot points in trading ✅ Discussions around momentum-based setups in

In this world of trading, success often hinges on understanding key market indicators. One such powerful tool is the Central Pivot Range(CPR), which offers traders a strategic blueprint for navigating price movements throughout their trading sessions. By unveiling the layers of price action, the CPR helps in identifying potential support and resistance levels, ultimately guiding traderstoward informed decisions. This comprehensive guide delves deep into the nuances of the Central Pivot Range, breaking down its calculations and practicalapplications. Whether you’re a novice seeking to grasp the basics or an experienced trader looking to refine your strategies, this articleequips you with essential insights and actionable tips. Join us as we unlock the secrets to trading success through the lens of the Central Pivot Range, empowering you to harness its potentialand elevate your trading game to new heights. Understanding Pivot Points and Their Importance Pivot points are crucial tools in the trading world, serving as one of the primary indicators for analyzing market trends. These points,derived from the previous day’s high, low, and closing prices, help traders predict potential support and resistance levels for the currenttrading day. Essentially, pivot points act as a barometer for market sentiment, giving an insight into whether the market is bullish or bearish. Byunderstanding pivot points, traders can better gauge market direction and make more informed decisions about entry and exit points. The significance of pivot points lies in their ability to offer a clear, objective framework for traders. Unlike other indicators that mayrequire subjective interpretation, pivot points provide concrete levels that traders can rely on. This precision is particularly beneficial involatile markets, where quick decision-making is essential. Pivot points not only help in identifying key price levels but also aid in recognizing trading ranges, breakouts, and potential reversals. Thismakes them invaluable for both day traders and long-term investors looking to optimize their trading strategies. Moreover, pivot points are versatile and can be used across various financial instruments, including stocks, Indices, commodities, andforex. Their wide applicability ensures that traders can leverage this tool regardless of their preferred trading asset. By integrating pivot points into their analysis, traders can enhance their market understanding and improve their chances of success. Thefoundational knowledge of pivot points sets the stage for delving into more advanced concepts like the Central Pivot Range, which buildson the principles of pivot points to offer an even more refined trading strategy. How to Calculate Central Pivot Range Calculating the Central Pivot Range (CPR) involves a straightforward yet detailed process that begins with the basic pivot point formula. The CPR is essentially a set of three levels: the central pivot point, the top central level, and the bottom central level. To calculate thecentral pivot point, you use the formula: (High + Low + Close) / 3. This provides a single reference point that represents the average price level of the previous trading session. Next, the top and bottom central levels are calculated to form the CPR. The top central level is derived using the formula: (High + Low) / 2.Similarly, the bottom central level is calculated as: (High + Low) / 2. These two levels, together with the central pivot point, create a range that traders use to identify potential support and resistance zones. The distance between the top and bottom central levels indicates the market’s volatility; a wider range suggests higher volatility, while anarrower range implies lower volatility. Understanding the calculations behind CPR is crucial for its effective application in trading. By knowing how to derive these levels, traderscan accurately plot them on their charts and use them to analyze price movements. Additionally, the CPR can be recalculated for differenttime frames, making it a flexible tool for various trading strategies. Whether you’re focusing on intraday trading or longer-term investments, mastering CPR calculations empowers you to make moreprecise and confident trading decisions. The Role of Support and Resistance Levels Support and resistance levels are fundamental concepts in technical analysis, playing a pivotal role in trading decisions. Support levelsrepresent price points where a downtrend is expected to pause due to a concentration of buying interest. Conversely, resistance levels are price points where an uptrend is likely to stall as selling pressure mounts. These levels are crucial fortraders as they indicate zones where price movements might reverse or consolidate. The Central Pivot Range (CPR) helps traders identify these critical support and resistance levels with greater accuracy. The central pivotpoint within the CPR often acts as a key support or resistance level, depending on the market's direction. If the price is above the centralpivot point, it generally indicates a bullish sentiment, with the top central level serving as the next resistance. Conversely, if the price is below the central pivot point, it suggests a bearish sentiment, with the bottom central level acting as support. By incorporating CPR into their analysis, traders can enhance their ability to predict market movements and set effective entry and exitpoints. The clear definition of support and resistance levels provided by CPR allows traders to anticipate potential price reversals andadjust their strategies accordingly. This strategic advantage is particularly valuable in volatile markets, where rapid price changes can significantly impact trading outcomes.Understanding the role of support and resistance within the framework of CPR is essential for leveraging this tool to its fullest potential. Trading Strategies Using Central Pivot Range Developing trading strategies around the Central Pivot Range (CPR) can significantly improve a trader's performance. One popular strategy involves using CPR levels to identify breakout opportunities. When the price moves decisively above the top centrallevel or below the bottom central level, it often signals a breakout. Traders can capitalize on these movements by entering positions in thedirection of the breakout, with stop-loss orders placed near the CPR levels to manage risk. Another effective strategy is the mean reversion approach, where traders anticipate the price returning to the central pivot point afterdeviating significantly. This strategy is based on the concept that prices tend to revert to their average levels over time. By observing price movements around the CPR, traders

Are you eager to dive into the fascinating world of options trading? Unlocking profits can seem daunting for beginners, but with the right strategies in hand, you can navigate the complexities of this financialinstrument with confidence. In this guide, we’ll explore essential options trading strategies that every newcomer should know. From mastering basic concepts to understanding the intricacies of calls and puts, these strategies will equip you with the tools necessaryto make informed decisions. Whether you aim to hedge against market risks or speculate for greater gains, these insights will pave the way to a more profitable tradingexperience. Join us as we unlock the secrets to successful options trading. Understanding Options: Calls and Puts Options trading is an intriguing way to participate in the financial markets, offering flexibility and the potential for significant profits. Atits core, options trading involves two primary types of contracts: calls and puts. Understanding these fundamental components is essential for any beginner looking to embark on this trading journey. A call option gives the buyer the right, but not the obligation, to purchase a specific asset at a predetermined price within a specifiedtimeframe. This predetermined price is known as the strike price. Traders typically buy call options when they anticipate that the price of the underlying asset will rise. By purchasing a call option, they cancapitalize on the asset’s price increase without having to buy the asset outright. This leverage can lead to substantial returns if the assetperforms as expected. On the other hand, a put option grants the buyer the right, but not the obligation, to sell an asset at a predetermined strike price within aspecified period. Investors usually purchase put options when they expect the price of the underlying asset to decline. By holding a put option, they can profit from the asset’s decreasing value. This strategy is often used as a hedging tool to protect againstpotential losses in an investor’s portfolio. Both call and put options are versatile tools that can be used in various strategies to achieve different investment goals. The key to successful options trading lies in understanding how to use these contracts effectively. By mastering the basics of calls and puts, beginners can build a solid foundation for exploring more advanced strategies and ultimatelyunlocking the potential for significant profits in the world of options trading. The Importance of a Trading Plan A well-structured trading plan is a crucial element for success in options trading. Without a clear plan, traders may find themselves making impulsive decisions based on emotions rather than logic. A trading plan servesas a roadmap, guiding traders through the complexities of the market and helping them stay focused on their long-term goals. One of the primary components of a trading plan is setting clear objectives. These objectives should be specific, measurable, attainable,relevant, and time-bound (SMART). By defining what they aim to achieve, traders can develop strategies that align with their goals and measure their progress over time.Whether the objective is to generate a certain percentage of returns or to hedge against potential losses, having a clear target in mind isessential for staying on track. Another critical aspect of a trading plan is risk management. Options trading involves inherent risks, and it’s important to have strategies in place to mitigate these risks. This includes determining themaximum amount of capital to allocate to each trade, setting stop-loss orders to limit potential losses, and diversifying the portfolio tospread risk across different assets. By incorporating risk management techniques into their trading plan, traders can protect their capital and reduce the impact of adversemarket movements. Additionally, a trading plan should outline the specific strategies and criteria for entering and exiting trades. This includes identifying thetypes of options to trade, the strike prices and expiration dates to target, and the market conditions that signal a good trading opportunity. By having a well-defined plan for executing trades, traders can avoid making hasty decisions and improve their chances of success. Ultimately, a comprehensive trading plan is a vital tool for any options trader, providing structure, discipline, and a clear path to achievingtheir financial goals. Basic Options Trading Strategies for Beginners For beginners, navigating the world of options trading can be overwhelming. However, starting with basic strategies can provide a solidfoundation and build confidence. These strategies are relatively simple to understand and implement, making them ideal for newcomersto the market. One of the most straightforward options trading strategies is the long call. This involves purchasing a call option with the expectation that the price of the underlying asset will rise. If the asset’s price increasesabove the strike price, the trader can exercise the option and buy the asset at the lower strike price, then sell it at the higher market pricefor a profit. The long call strategy offers unlimited profit potential while limiting the maximum loss to the premium paid for the option. Another basic strategy is the long put, which is the opposite of the long call. In this case, the trader buys a put option with the expectation that the price of the underlying asset will fall. If the asset’s price dropsbelow the strike price, the trader can exercise the option and sell the asset at the higher strike price, then repurchase it at the lowermarket price for a profit. Like the long call, the long put strategy offers significant profit potential while capping the maximum loss at the premium paid for theoption. For those looking for a more balanced approach, the covered call strategy is an excellent choice. This involves holding a long position in anasset while simultaneously selling a call option on the same asset. The premium received from selling the call option provides additional income, which can offset potential losses if the asset’s pricedeclines. However, if the asset’s price rises above the strike price, the trader may have to sell the asset at the strike price, potentiallylimiting the upside potential. The covered call strategy is ideal for generating income and providing some downside protection, making it a popular choice amongbeginner options