0People think there are two types of trends; Up-trend and down-trend. And the biggest trade mistake is committed to this wrong concept.
In fact, there are not two but three trends:
1. Up Trend
2. Down Trend &
3. Sideways Trend
Option buyer makes money only when price moves in his trade direction and loses when the trend is in the opposite direction and sideways. So buyer's winning possibility is just 33.33% and losing possibility is 66.66%.
On the other hand, the option seller makes money when the trend is in his direction as well as during a sideways trend. So the seller's winning possibility is bigger, 66.66% and losing possibility are lesser which is 33.33%.
