Description
In this course, you will :
- Develop a good knowledge of alternatives and how they work.
- Learn options techniques for profiting from any market (increasing, declining, or range-bound).
- Determine which options are liquid and which are illiquid (risky to trade).
- Determine the risk exposures for your option positions.
Syllabus:
1. Options Trading Basics
- Basics of Call Options & Put Options
- Option Strike Prices
- Options Expiration
- Intrinsic & Extrinsic Value
- Exercise & Assignment
- The Bid-Ask Spread
- Option Volume & Open Interest
- Order Types
2. Implied Volatility
- Implied Volatility Basics
- What is the VIX Index?
- What is the Expected Move?
- Trading VIX Options
- Implied Volatility Rank vs. Implied Volatility Percentile: Which is Better?
3. The Option Greeks
- Delta: An Option's Directional Exposure
- Gamma: The Change in an Option's Directional Exposure
- Theta: An Option's Rate of Price Decay
- Vega: An Option's Sensitivity to Changes in Implied Volatility
- Position Delta: The Directional Exposure of an Entire Option Position
- Delta Hedging 101
- Long & Short Gamma