What is the safest strategy in option trading to earn a 4% profit monthly?

Option are the contract whose value is derived from underlying asset, and the contract that gives you a right but not the obligation to buy or sell an underlying asset on fixed future date at specified future price.

Call Option : Gives you a right to buy an underlying asset

Put Option : Gives you a right to sell an underlying asset.

The safest strategy in option trading is to work according to individual risk appetite as we know that To invest in equity commodity, future and option is subject to the market risk. But it doesn’t mean that any individual can not receive a good return.

You can !

By working through a proper risk appetite.

As you questioned to earn 4% profit monthly on an investment . you easily work through option. As the main purpose of option trading reduce future risk of price uncertainty through the strategy of hedging and arbitraging .

Hedging is technique in which losses from 1st position can be offset by taking another opposite position on same underlying asset.

Like buying a call option and buying a put option on another hand

the difference between both premium would b your profit .

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