Abstract: In the endless rundown of questionable theories of stock market, the theory of “Option Pain” absolutely finds a spot. Option pain or here and there alluded to as ‘Max Pain’ has a huge number of people wants to learn it and most likely an equivalent number of individuals who dislike it strongly. It is to be straightforward that in the underlying long periods of following option pain, it was always unable to bring in reliable returns. In any case, extra time has discovered strategies to ad-libitum on this theory to suit understand the maximum risk in terms of pain and agile in positive investment decision. However, presently this is to introduce the option pain theory and converse with all about what is positive and negative about max pain analysis. Option pain theory expects us to be acquainted with the idea of ‘Open Interest’. Hence, this research focuses the max pain model of options trading and this will help the investors to diligently view the risk spot and maximum loss, so that, it creates inquisitiveness in investment decisions.
P. Govindasamy and R. Ravimohan, 2020. Analytical Study on Max Pain Theory and PCR is the Novel Strategy in Options Trading. International Business Management, 14: 305-309.