Options Trading with PCR & VWAP — Step-by-Step Guide & Transcript

[00:00] Well, a lot of people lose their money in the stock market every that you have also lost money in the stock market many times, why did I lose money. If your stop loss was hit, then who made

[00:14] want to know this, then you are watching the right video. In know today, by using this secret, you will not only save your money in the stock market. And for that, I will tell you a software,

[00:30] what you have to know. You must have heard this, in fact, you people lose their money in the stock market. And if you have show you how they are losing their money. 90% people are losing

[00:46] people are making profit. Now one thing is clear, if you trade, is lost. If 90% people are losing, then this money is going to

[01:00] are making profit. Now you have to make profit, so what do you are thinking of trading today, then what do you have to know

[01:12] in which category you are. If you know the category that I am category, then today I am going to lose money. So you will not

[01:25] you will trade? In the category of 10%, now you will think what to you, but you should have such a clear logic that 90% people and we have to go in this category of 10% because these people

[01:41] why did I say this, I will give you some logics and facts on stock market, most people trade in options because in options very little capital. Now what happens in options, it is very

[01:57] game to you that if you think people buy options more because in buy, it means it increases cheaply. Now if you buy options,

[02:10] will increase, you buy the call option, you feel that the market the call option. You are understanding this much. If you are and good. Now you have to understand one more thing, when you

[02:24] is selling, definitely selling, someone is selling. So there one is sellers and one is buyers. Now I said that buyers have

[02:38] if you trade in a lot and that lot costs you ₹ 10,000, then if sell, then he has to give lakhs of rupees there. Your margin

[02:51] ₹ 10,000, but the seller has to pay many times more money. So one more thing, he will lose his lakhs of rupees. Is this person

[03:03] to earn your ₹ 10,000 by investing his lakhs of rupees. The option ₹ 10,000, he is saying that I should get the premium of this basic things that as time passes, theta decays, you also know

[03:19] then what will be your maximum loss, your premium. So this maximum of yours can be the max profit for the other person. Maybe you

[03:31] words at once. You can listen to this video many times, make I am saying, just listen to this whole video once, your mind who will make money and how you have to make money. So you understood

[03:47] trading by investing more money and the buyer is trading by investing seller wants to get the money of the buyer because if money goes is going to win, but

[04:03] the seller, now here comes the second concept. The seller is for call options and the seller is for put options. Means people option and people are selling the put option at the same time.

[04:19] that the market will increase, many people think that the market will the market go? The market will go where there is more money this concept too. You have ₹ 1 crore, I have ₹ 10,000, I have

[04:36] a stock of ₹ 10,000, then what will it move? But if you buy a it can be strong inside it. The price of that stock can go up simple idea. So whoever has money, he also has the power to move

[04:53] who has invested more money will also win. Now how will you know is because first of all I told you, what you have to know is in. Now I will show you exactly how you can identify it in a

[05:12] the market in the morning and start trading. After today, you first, which category I am going to trade in, then only you have

[05:24] I will show you a software, the name of the software is AutoTrend. about AutoTrend? Because I am making regular money from this show you a big game, I will tell you a simple thing. Money is

[05:38] if you want, you can also make it. So I will show you exactly Now when you go to its home screen, you simply click on the derivative Now you will see a lot of options here, but first we will start

[05:54] will see in Nifty, this is highly important. You can see here, options and Nifty put options. So in call options, at what strike interest is there and what is the change in open interest in

[06:09] in put options, at what strike price, what is the open interest in open interest, you have to see. Here we have to see the change just one look. Now what are you seeing here, you are seeing that

[06:26] in Nifty call options is above 2 crores 33 lakhs and here in change in open interest? Approximately 79 lakhs. So understand

[06:38] 79 lakhs shares have been bought by people in put options and 33 lakhs shares have been bought by people. As an option writer

[06:50] seller point of view, then the one who has sold these options, loose and in the market, definitely those who have more capital, the market. So what I am seeing in the first impression that

[07:06] to be lost. You have to take a very simple impression. These crores 33 lakhs shares in the call option, they will have a loss. in loss. At what strike price is the most open interest? So call

[07:23] think that the market will increase from here, so they have bought Here see this 54 lakhs 37400 open interest is standing here and

[07:36] here. Now understand one thing here. The thing to understand not increase. This money will be lost by the time the sellers

[07:51] have seen the ratio, then what is the put and call ratio here, Now here you are getting the signal. Now look carefully here,

[08:03] sell sell sell sell. Every option signal is saying here to sell. Now what do you have to all, I said PCR put call ratio, so put call ratio is 0.40 means

[08:19] and in comparison to that, the put options are bought less. So PCR is below 1, it means you have to see there simply that the

[08:34] here and when it is above 1 or above 1.5, then you will see the here you are seeing the signal of the cell, you are seeing the seeing the signal cell, so now what does it mean? It means that

[08:50] PCR here. After seeing PCR, there is one important thing here. this indicator only after 10.30. Some people open the market

[09:02] they start trading. It is clearly written here that for its accurate indicator only after 10.30 and I will tell you a little bit more

[09:14] use it after 10.30. In fact, as time passes, its accuracy will trade before the market closes, for example, let's take a trade the accuracy of this software is very high. Now with this accuracy,

[09:30] traded, I will show you now. So here you see a very important means Volume Weighted Average Price. What is Volume Weighted talking about Nifty. If you are interested in Bank Nifty, then

[09:46] Bank Nifty. We will come to Bank Nifty now, but first let's understand submit above 5 minutes. Data is refreshed every 3 minutes. So is that here you see.

[10:05] now understand VWAP, VWAP is saying here that VWAP is now 12.50 so 12.53 is happening so the data of 12.50 minutes has been refreshed

[10:19] this data is according to 15 minutes, we have opened 5 minutes here, if you want you can submit it on 15 minutes you can see the 15 minutes data as well, if you want more accurate

[10:31] depending on how long you are trading, so here you can see now PCR ratio is 0.34 and when we saw the time frame difference so it is 0.40 only so it doesn't matter but what matters is,

[10:46] VWAP is running on 17.277, now let's see how much Nifty is running see here, Nifty is running on 17.155, means the VWAP of this,

[10:58] I will show you here, so if I come to future, wait so I will take you to futures and I will put VWAP here in indicators

[11:11] VWAP line is seen very high, now VWAP line is volume weighted what does it mean, software is telling you that if you go to

[11:23] it is around 12.50, if you can see then price is running around so it has been reduced a little more, so what does it mean, if

[11:37] then you will get maximum profit, what does it mean, if the price means at the time when here, if you can see the signal of sell so from morning only the signal of sell is seen and if you would

[11:52] at this point of time you can see some more things, I will tell so now we are simply, what are we doing here, we are doing analysis so now we have not seen any price action, now here you can see

[12:09] so how I have traded M chart pattern I will show you that also, if you would have sold around VWAP then you would have seen boom,

[12:21] so you can definitely calculate that, but definitely I have taken to understand that whenever you trade, the price is around VWAP, it is very good

[12:34] now here you have understood that you have to sell, but now we or Bank Nifty, come down a little bit, so when we will come down so we will see a very good chart of Nifty and Bank Nifty here

[12:50] now when you are seeing the chart, you can see Nifty is falling, now here Nifty is falling and Bank Nifty is also falling, now so here according to 15 minutes, the PCR ratio was 0.40, now

[13:05] now when we have Bank Nifty, it is 0.60, so definitely if we now here again when you are trading, here also in the call option

[13:19] you will see change in open interest, now when you see change and here it is around 86 lakhs, so people have bought 86 lakhs

[13:31] means where more people have bought, market will go opposite so market will not go up or down, so here people will benefit

[13:44] so here you can see that the option signal was definitely of but one thing you have to pay attention to is that what is the

[13:58] and definitely you have to apply stop loss here and you have now we come to what we have traded today, so I will show you, so here as I said you were seeing a very good M shape pattern,

[14:16] so here a trade is made on double top, you saw once top was made, neckline was a strong support as well, because many times price

[14:31] so I drew a horizontal line from here, a neckline was made, after and when it came down, when a candle breaks it, after breaking

[14:45] you can trade with stop loss of that candle and when neckline breaks, it means that market will fall from now I will show you that we have also traded following the same

[14:59] we have bought put option here, we have bought only one lot of now it is around 218 and we have bought 3 lots of 17250 put option,

[15:13] so till now my position is open because the software which is so software is showing sell, so till now my position is open,

[15:29] till I don't see any strong trend reversal pattern till I don't see on the chart, till then my position will be we will book that profit, so now when we can trade so accurately

[15:43] in fact I have shown you the price action, we have seen that and I felt that we should trade from there, so we did trade in this way you can also trade daily with this software and this

[15:57] specially I have told you that as time goes by, around 2 o'clock in fact if you will see on expiry, every time on expiry software rest how results come for you, you must tell

[16:13] now you have seen clearly that if you trade in the market where you will make money, so the first category we have to identify are we not in the category of more people, as soon as you identify

[16:29] after that one thing I have explained to you very clearly VWAP, which you have understood my point, keep that in mind, what you you have to take trade when the price is around VWAP, because

[16:45] if you do regular trade then you will see that the price comes once in a day the price comes to test the level of VWAP, so entering is beneficial for you, why it is beneficial, understand one more

[17:00] then your stop loss will increase and your stop loss should not here we are trading by looking at the data, so it comes to mind

[17:12] around VWAP you can take a stop loss of 30 to 35 points and if then if you are taking a stop loss of 30 points then you can if you use trailing stop loss then your stop loss as you feel

[17:29] then your stop loss will also increase, so your profit will be important thing, what you have learned today, you have seen that 1.5M, you have seen that the put call ratio is around 0.3 to

[17:47] that means three times people have traded in today's date in people have traded less, the day there will be more people in

[17:59] PCR will be 1+, suppose you see 2.4 PCR ratio, now what I am PCR ratio, what do you think where will the market go, perfect,

[18:14] because more people have traded in put, so you have understood if 1 is going up then the market will go up, if you see 1.8 then

[18:27] the market will go up and if you see 0.6 then what will happen, so today you understood to sell, one more thing, we saw that

[18:39] VWAP, so we will sell from there, you will think that there will your mind, they must have thought that I was showing sell, but bought put, yes definitely, when you think that the market will

[18:56] of sell from here, then it is beneficial to buy put option, why put option, because if the market falls, then our put option, of put European increases, one more thing, if you think that

[19:10] if you think that the market will increase, then you will come call option, now we are talking about option buying, if we were

[19:22] then what we would do, then we would sell the call option below, option here, we would sell CE if we felt that the market will and here we would sell put, so you can use this software for

[19:39] Now see one more thing, this software is inexpensive, it does plus GST is your costing for 3 months and you understand this

[19:51] is around ₹ 1000, this is nothing, because if you make a lot this basic concept, then you will not be able to sell.

[20:03] capital is being traded. So if you see a basic data and after then you will be able to trade accurately. Today I made a video 412 0:20:12,500 --> 0:20:03,708 So in one day, 10, 20, 50,000 people are affected. In fact, it

[20:15] making a video for educational purposes. So I simply showed you Today we did not show a very big quantity. I don't want to impress you a profit of Rs. 100,000. See, profit is made. I traded with

[20:29] you generally trade and profit is made in that too. We made approximately profit. So this profit is not to impress. This is to show how

[20:41] you can make money and if you make a loss, then why do you make the link of auto trader in the description and comment box. You when you trade, after seeing the PCR ratio, what the data is

[20:56] then you can trade. Definitely your profits will be made and then you can tag me on Instagram. I really like it when you make I will also reshare your stories. So I like it that people are

[21:11] on YouTube, then subscribe to it. Click on the bell icon. Do can get benefit from this video. So share this video. I will Till that time, you go self-made.