Can you please explain in detail. Is option buying only for insurance & not for trading?
well... who said you can't trade insurance contracts!
Infact Insurance companies do exactly this.
You can buy or sell insurances if you see any of these insurances are mispriced.
You can use options for hedging.
You can use options as lottery.
You can use options as heavily levered position when you are quite confident on market direction.
etc etc...
someone in Traderji used options for weight reduction... weight reduction bcoz of anxiety!
Options serve different purpose and behave in entirely different ways.
Methods used to profit in stocks/futures will miserably fail in options...
As a matter of fact... making money in options consistently is very very hard for 90% of trading population... the rest 10% are smart and they know what they are doing.