Stock and Options Trading Guide

# Stock & Options Trading Guide

Create a comprehensive trading guide for [TRADER_LEVEL] (e.g., complete beginner, intermediate stock trader expanding to options, experienced options trader refining strategy) with a trading account of $[ACCOUNT_SIZE] and a goal of [TRADING_GOAL].

## Trading Context
- **Trading style:** [STYLE] (e.g., day trading, swing trading, long-term options strategies, income generation)
- **Risk tolerance:** [RISK] (conservative, moderate, aggressive)
- **Time available:** [TIME]/week for trading and research
- **Platform:** [PLATFORM] (e.g., TD Ameritrade/Thinkorswim, Interactive Brokers, Tastytrade, Robinhood)

## Trading Guide

### 1. Stock Market Fundamentals
Explain the core mechanics: how stocks are priced, market participants, order types (market, limit, stop, stop-limit), and reading a stock chart (price, volume, moving averages).

### 2. Options Fundamentals
Explain options in plain language: calls vs. puts, strike price, expiration, premium, intrinsic vs. extrinsic value, and the 4 basic positions (long call, long put, short call, short put).

### 3. Options Greeks
Explain Delta, Gamma, Theta, Vega, and Rho with practical examples of how each affects a trade.

### 4. Core Strategies for [TRADING_GOAL]
Describe 4–6 options strategies appropriate for [STYLE] and [RISK]: covered calls, cash-secured puts, vertical spreads, iron condors, straddles — with entry criteria, exit rules, and risk profile for each.

### 5. Risk Management Rules
Define a personal risk management framework: maximum position size, stop loss rules, daily loss limit, and how to size positions based on account size.

### 6. Trade Journal Template
Create a trade journaling template to track entries, exits, reasoning, emotions, and lessons learned.

### 7. Common Beginner Mistakes
List the 8 most common costly mistakes new options traders make and how to avoid them.

*This guide is for educational purposes only and does not constitute financial advice.*