Intermediate
Delta and gamma as changing price exposure
Delta measures local directional exposure. Gamma explains why that exposure changes as the underlying moves. Neither is a fixed forecast.
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Options Trading Guide
Understand calls and puts, analyse option prices and build strategies for direction, income and protection. Follow ten stages from contract basics to advanced structures and disciplined trade management.
Start with Calls and puts from both sides of the contract, then follow the next lesson links. Explore 40 lessons with worked examples, exercises and further reading.
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Pricing and Market Analysis · All lessons
Pricing and Market Analysis
Connect Greeks, volatility and event risk with a testable market view.
Intermediate
Theta vega and rho beyond simple rules
Time, volatility and interest rates can change an option’s value even when the underlying price is unchanged. Read the model conventions before adding the effects.
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Intermediate
Implied volatility skew and the term structure
Implied volatility is backed out of option prices. Its pattern across strikes and expirations helps explain relative pricing, but does not reveal the future.
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Intermediate
Earnings events and the implied expected move
An earnings announcement can move both the share price and option volatility. Evaluate the required move and the premium at risk before choosing a contract.
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