Option Trader

December 10, 2008

Option trading question?

trading puts calls
pps p asked:


Hello, I understand that first of all we need to know how the future price of the Underlying security is going to be bullish or bearish or neutral…..Then after finding out the trend we have to select the strategies…..I am really having trouble here in really correct trend…..

If you are successful option trader How do you come to conclusion that you are going to bet the price of security is bullish or bearish or neutral?What Kind of analysis you do?Do you use put/call ratio like something as a Indicator for confirming the trend?Please share your ideas How to Jump to conclusion to bet that product’s price will be bullish or bearish or neutral?Please explain to me in simplae and clear way……I do not have trouble in selecting the strategy after find the trend ie, bullish or bearish or neutral……I need some experienced Option trader’s confirmation for the basement of selecting the trend?

Thank you.

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