Blog


  • Impact of events (Brexit) & Interest Rate Parity

    Karthik Rangappa on June 28, 2016

    3.1 – Brexit, the event extraordinaire! I originally planned to dedicate this entire chapter to the USD INR pair, which as you may know is the largest traded currency contract in India. But then, th ..

  • Reference Rates & Impact of events

    Karthik Rangappa on June 21, 2016

    2.1 – Dual View Think about a stock, Infosys for example, when you buy or sell Infosys – your view on the stock is straightforward – you are either bullish or bearish on Infosys. Therefore, you ..

  • Currency Basics

    Karthik Rangappa on June 7, 2016

    1.1 – Module Orientation At the onset, let me give you a quick orientation so that you can set your expectations for this module. The focus of this module will be on three main topics – Curren ..

  • Max Pain & PCR Ratio

    Karthik Rangappa on May 16, 2016

    13.1 – My experience with Option Pain theory In the never ending list of controversial market theories, the theory of ‘Option Pain’ certainly finds a spot. Option Pain, or sometimes referred to ..

  • The Long & Short Strangle

    Karthik Rangappa on April 29, 2016

    12.1 – Background If you have understood the straddle, then understanding the ‘Strangle’ is quite straightforward. For all practical purposes, the thought process behind the straddle and strangl ..

  • The Short Straddle

    Karthik Rangappa on April 14, 2016

    11.1 – Context In the previous chapter we understood that for the long straddle to be profitable, we need a set of things to work in our favor, reposting the same for your quick reference – The vo ..

  • The Long Straddle

    Karthik Rangappa on March 24, 2016

    10.1 – The directional dilemma How many times have you been in a situation wherein you take a trade after much conviction, either long or short and right after you initiate the trade the market move ..

  • Put Ratio Back spread

    Karthik Rangappa on March 11, 2016

    9.1 – Background We discussed the “Call Ratio Back spread” strategy extensively in chapter 4 of this module. The Put ratio back spread is similar except that the trader invokes this when he is b ..

  • Other indicators

    Karthik Rangappa on February 25, 2016

    Average Directional Index (ADX) About: The Average Directional Index (ADX), Minus Directional Indicator (-DI) and Directional Indicator (+DI) represent a group of directional movement indicators that ..

  • Bear Call Spread

    Karthik Rangappa on February 24, 2016

    8.1 – Choosing Calls over Puts Similar to the Bear Put Spread, the Bear Call Spread is a two leg option strategy invoked when the view on the market is ‘moderately bearish’. The Bear Call Spread ..