Posts Tagged ‘Stock Option Trading’

Options Trading Strategies – Treat Implied Volatility of Calls Separate From the IV of Puts

The Implied Volatility (IV) of Calls needs separate treatment from the IV of Puts. Also, for specific options trading strategies treat the IV of both Puts and Calls as a combined bundle.Each option at each strike implies its own individual percentage value of the underlying product’s future volatility. This makes it unique from any other [...]

Options Trading Strategies – Book Review – Guy Cohen, The Bible of Options Strategies

Most trading literature on option strategies tend to lean towards mathematical formulas to define the construction of a spread.  Guy Cohen has chosen to use pictorial logic, even with the Greeks unique to a particular strategy, to piece together the legs of a spread with diagrams.Diagrams that connect with each other are a much more [...]