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Options & algo trading, decoded

Original guides on options strategies, the Greeks, automation, SEBI rules and risk management for Indian derivatives traders.

All Strategies Futures & Basics Risk Greeks & Concepts Markets & Regulation Automation

Strategies2 min read

Bull Call Spread: A Defined-Risk Bullish Strategy

A bull call spread is a debit strategy for a moderately bullish view with capped risk and reward. Here's how to build it, plus max profit, loss and break-even.

Gravity Algo Research23 Jun 2026

Futures & Basics2 min read

Futures vs Options: What's the Difference?

Futures obligate you to trade; options give you the right but not the obligation. Here's how they differ on risk, margin, payoff and when to use each.

Gravity Algo Research22 Jun 2026

Strategies2 min read

Bull Put Spread: Earn Credit on a Bullish-to-Neutral View

A bull put spread is a credit strategy that profits if the underlying stays above a level. Here's how to build it, with max profit, loss and break-even.

Gravity Algo Research22 Jun 2026

Futures & Basics2 min read

What Is a Futures Contract? A Beginner's Guide

A futures contract is a standardised, exchange-traded agreement to buy or sell an asset at a fixed price on a future date. Here's how they work in India.

Gravity Algo Research21 Jun 2026

Strategies3 min read

Straddle vs Strangle: Which Option-Selling Strategy Fits You?

Straddles and strangles are the two workhorse neutral option-selling strategies. Here's how they differ on premium, risk, margin and when to use each.

Gravity Algo Research20 Jun 2026

Strategies1 min read

Bear Put Spread: A Defined-Risk Bearish Strategy

A bear put spread is a debit strategy for a moderately bearish view with capped risk and reward. Here's how to build it, with max profit, loss and break-even.

Gravity Algo Research20 Jun 2026

Risk2 min read

Margin in F&O: Initial Margin, SPAN, Exposure & Margin Calls

Margin is the capital you post to hold an F&O position. Here's how initial/SPAN/exposure margin work, what a margin call is, and how hedging reduces margin.

Gravity Algo Research19 Jun 2026

Greeks & Concepts2 min read

How to Read an Option Chain Like a Pro

The option chain is the trader's cockpit. Learn to read LTP, IV, OI, change in OI and the Greeks so you can spot where the move — and the risk — really is.

Gravity Algo Research18 Jun 2026

Strategies1 min read

Bear Call Spread: Earn Credit on a Bearish-to-Neutral View

A bear call spread is a credit strategy that profits if the underlying stays below a level. Here's how to build it, with max profit, loss and break-even.

Gravity Algo Research18 Jun 2026

Risk1 min read

Leverage in F&O: How It Multiplies Gains — and Risk

F&O leverage lets you control a large position with a small margin. Here's how it works, why it cuts both ways, and how to use it without blowing up.

Gravity Algo Research17 Jun 2026

Strategies2 min read

Butterfly Spread: Low-Cost, Defined-Risk Neutral Strategy

A butterfly spread is a cheap, defined-risk way to bet the underlying pins near a strike. Here's how to build it, with max profit, loss and break-evens.

Gravity Algo Research16 Jun 2026

Markets & Regulation2 min read

SEBI F&O Rules 2026: What Index Options Traders Should Know

A plain-English explainer of the SEBI derivatives framework shaping index options trading in India — expiry structure, position limits, margins and what it means for retail traders.

Gravity Algo Research15 Jun 2026

Strategies2 min read

Hedging With Futures & Options: Protecting Your Positions

Hedging uses derivatives to offset risk in a position or portfolio. Here's how futures and options hedges work, with practical examples for Indian traders.

Gravity Algo Research14 Jun 2026

Strategies2 min read

Ratio Spread: Financing Direction With Extra Short Options

A ratio spread buys and sells options in an unequal ratio (often 1x2) to trade a range cheaply — but it carries open-ended risk. Here's how it works.

Gravity Algo Research13 Jun 2026

Automation2 min read

7 Rule-Based Automations Every Options Seller Should Set Up

Manual option selling is a discipline problem. These seven rule-based automations — entries, rolling, stops and square-offs — execute your plan without emotion.

Gravity Algo Research12 Jun 2026

Markets & Regulation1 min read

F&O Across Asset Classes: Indices, Stocks, Commodities & Currency

Futures and options trade across indices, stocks, commodities and currencies in India. Here's what each offers, where they trade, and how they differ.

Gravity Algo Research11 Jun 2026

Strategies2 min read

Delta-Neutral Trading Explained: A Practical Guide

Delta-neutral trading lets you profit from time decay and volatility instead of direction. Here's how it works, how to maintain neutrality, and where the risk hides.

Gravity Algo Research9 Jun 2026

Risk2 min read

MTM Stop-Loss & Auto Square-Off: Risk Rules That Save Accounts

An MTM stop-loss and an automatic square-off are the two risk rules that keep option sellers in business. Here's how they work and how to set them sensibly.

Gravity Algo Research6 Jun 2026

Strategies2 min read

Iron Condor vs Iron Fly: Defined-Risk Income Strategies Compared

Iron condors and iron flies are both defined-risk, neutral option strategies. Here's how their premium, profit zone and risk differ — and when to use each.

Gravity Algo Research4 Jun 2026

Greeks & Concepts2 min read

What Is Implied Volatility (IV) and Why It Drives Option Prices

Implied volatility is the market's forecast of future movement, baked into every option price. Here's what IV means, why it matters, and how traders use it.

Gravity Algo Research2 Jun 2026

Strategies2 min read

Weekly vs Monthly Options Expiry: Which Should You Trade?

Weekly and monthly options behave very differently on theta, gamma and liquidity. Here's how to choose the right expiry for your strategy.

Gravity Algo Research30 May 2026

Automation2 min read

Algorithmic Trading in India: A Beginner's Guide (2026)

What algo trading is, how it works in India, what's allowed under SEBI, and how to start with rule-based automation — explained for beginners.

Gravity Algo Research28 May 2026

Automation1 min read

Copy Trading Explained: Mirror Strategies Across Accounts

Copy trading mirrors one account's trades into others automatically. Here's how it works for options, where it helps, and what to watch for.

Gravity Algo Research25 May 2026

Strategies1 min read

Gamma Scalping Explained: Profiting From Movement, Not Direction

Gamma scalping is how long-options traders monetise volatility by re-hedging delta as the underlying moves. Here's the intuition and the mechanics.

Gravity Algo Research22 May 2026

Risk1 min read

Position Sizing for Options: The Skill That Keeps You Alive

Position sizing decides how much you trade per position based on risk, not capital. Here's a simple framework that protects your account.

Gravity Algo Research20 May 2026

Greeks & Concepts1 min read

Paper Trading: How to Practise Options Without Risking Money

Paper trading lets you test strategies with real-time data and zero risk. Here's how to use it well — and the mistakes that make it useless.

Gravity Algo Research18 May 2026

Strategies2 min read

Option Selling vs Buying: Which Side Should You Be On?

Option buyers risk little to win big but lose often; sellers win often but risk more. Here's the real trade-off and how to choose your side.

Gravity Algo Research15 May 2026

Greeks & Concepts2 min read

Theta Decay in Weekly Options: The Seller's Engine

Theta is the time decay that pays option sellers — and it accelerates sharply in weekly options. Here's how it works and how to harness it safely.

Gravity Algo Research12 May 2026