Options Trading

  1. The Greeks: Measuring Option Risk and Sensitivity
    1. Delta: Sensitivity to Underlying Price
      1. Definition and Interpretation
        1. Delta Values for Calls and Puts
          1. Positive and Negative Delta
            1. Delta as Probability of Expiring ITM
              1. Delta Hedging
                1. Dynamic Hedging
                  1. Hedge Ratios
                  2. Delta Neutral Positions
                  3. Gamma: Rate of Change of Delta
                    1. Definition and Interpretation
                      1. Gamma Risk
                        1. Long Gamma Positions
                          1. Short Gamma Positions
                          2. Gamma and Position Adjustments
                            1. Gamma Scalping
                            2. Theta: Sensitivity to Time Decay
                              1. Definition and Interpretation
                                1. Theta Decay Curve
                                  1. Linear vs. Non-Linear Decay
                                  2. Impact on Long vs. Short Options
                                    1. Theta and Expiration Cycles
                                      1. Weekend Theta
                                      2. Vega: Sensitivity to Volatility
                                        1. Definition and Interpretation
                                          1. Impact of IV Changes on Option Prices
                                            1. Vega and Earnings Announcements
                                              1. Vega Risk Management
                                                1. Long Vega vs. Short Vega Positions
                                                2. Rho: Sensitivity to Interest Rates
                                                  1. Definition and Interpretation
                                                    1. Impact of Interest Rate Changes
                                                      1. Rho for Calls vs. Puts
                                                        1. Practical Significance of Rho
                                                        2. Minor Greeks
                                                          1. Lambda (Leverage)
                                                            1. Epsilon (Dividend Sensitivity)
                                                              1. Charm (Delta Decay)
                                                                1. Vanna (Delta-Vega Relationship)
                                                                  1. Volga (Vega Convexity)
                                                                  2. Using the Greeks in Practice
                                                                    1. Portfolio Greeks
                                                                      1. Aggregating Greeks
                                                                        1. Net Greeks Analysis
                                                                        2. Risk Management with Greeks
                                                                          1. Greeks-Based Position Sizing
                                                                            1. Greeks Monitoring
                                                                            2. Greeks and Strategy Selection

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                                                                          3. Option Pricing and Value

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                                                                          5. Fundamental Options Strategies