As an option seller, you are obligated to complete a specific set of requirements. In fact, selling options gives you fewer choices, and the actionable choices are heavily influenced by the action in the markets. As the expiration date
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“Human behaviour is probably better approximated by bounded rationality. That is, human rationality is limited by the tractability of the decision problem (how easy it is to manage), the cognitive limitations of our minds, the time available in which to make the decision, and how important the decision is to us.”
― Introducing Game Theory: A Graphic Guide
― Introducing Game Theory: A Graphic Guide
“many situations, there are benefits to cooperation but elements of conflict also exist.”
― Introducing Game Theory: A Graphic Guide
― Introducing Game Theory: A Graphic Guide
“you are trading shorter-term options, changing interest rates shouldn’t affect the value of your options too much. But if you are trading longer-term options such as LEAPS, rho can have a much more significant effect due to greater “cost to carry.”
― The Options Playbook: Featuring 40 strategies for bulls, bears, rookies, all-stars and everyone in between.
― The Options Playbook: Featuring 40 strategies for bulls, bears, rookies, all-stars and everyone in between.
“Implied volatility is expressed as a percentage of the stock price, indicating a one standard deviation move over the course of a year”
― The Options Playbook: Featuring 40 strategies for bulls, bears, rookies, all-stars and everyone in between.
― The Options Playbook: Featuring 40 strategies for bulls, bears, rookies, all-stars and everyone in between.
“I want to reiterate that the “textbook definition” of delta has nothing to do with the probability of options finishing in- or out-of-the-money. Again, delta is simply the amount an option price will move based on a $1 change in the underlying stock. But looking at delta as the probability an option will finish in-the-money is a pretty nifty way to think about it. And if there’s one thing I want to encourage in this playbook, it’s nifty ways of thinking about options.”
― The Options Playbook: Featuring 40 strategies for bulls, bears, rookies, all-stars and everyone in between.
― The Options Playbook: Featuring 40 strategies for bulls, bears, rookies, all-stars and everyone in between.
Sunil’s 2025 Year in Books
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