Options Trading Execution System
By Shaktimatha Learning
1. When to Trade Options?
- Only after clear market direction
- After liquidity sweep (fake breakout)
- When structure is confirmed
- When volume supports move
No clarity = No trade
2. Strike Selection (Very Important)
Best Choice → ATM (At The Money)
- Highest liquidity
- Fast movement
- Less spread
Avoid Deep OTM
- Slow movement
- High risk
- Premium decay
ATM/ITM = Professional Trading Choice
3. Entry Rules
- Enter only after confirmation candle
- Use LIMIT order (avoid slippage)
- Follow higher timeframe bias
- Wait for retest if missed
No confirmation = No entry
4. Stop Loss Strategy
- Below structure (Buy)
- Above structure (Sell)
- Or 20–30% premium SL
Always protect capital first
5. Target Strategy
- Next resistance/support
- 1:2 Risk-Reward minimum
- Trail profits after breakout
Let winners run, cut losers fast
6. Order Types (Practical)
- LIMIT → Best for entry
- SL → Stop Loss trigger
- SL-M → Instant exit
Use SL order immediately after entry
7. Trade Management
- Book partial profits
- Move SL to cost
- Avoid overtrading
- Trade only quality setups
© Shaktimatha Learning
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