AN ANALYSIS OF TRADING STRATEGIES OF EQUITY DERIVATIVE TRADERS IN KERALA

The derivatives market received a great deal of attraction nowadays and a lot of people are attracted to derivative trading. The use of different trading techniques and strategies by equity derivative traders was examined in this study using eleven statements relating to trading techniques and strategies. The findings indicate that most traders often utilise stop-loss methods and take international stock index fluctuations into account when creating trading plans. It is also found that the majority of the traders prefer option writing rather than options buying. Comparison of trading strategies of different demographic groups was also made and it is found that age, education, occupation, and trading capital significantly influence the use of trading strategies of equity derivative traders.