Why Calendar Spreads Are Not Long Volatility Trades The long calendar spread is an options strategy that consists of selling a near-term option, while simultaneously purchasing a longer-term option at the same strike price. Calendar spreads can be constructed with calls or puts. Since both options use the same strike price, they’ll both always have the […]
Volatility Skew & Three Things it Can Tell You
Volatility Skew & Three Things it Can Tell You A stock’s implied volatility represents the overall level of a stock’s option prices. However, each individual option trades with its own implied volatility. By analyzing the prices (implied volatility) of options at various strike prices, we can learn if a particular stock trades with volatility skew, […]
The Cost of Trading Volatility
The Cost of Trading Volatility When trading volatility products, it’s imperative that you’re aware of the costs associated with the positions you enter. More specifically, being aware of the current VIX term structure (VIX futures curve) as it relates to historical levels can help you make more informed volatility trading decisions.My First Volatility MishapIn May […]
2017 Options Expiration Calendar
The 2017 Options Expiration Calendar The following 2017 options expiration calendar was created by the Options Industry Council and the Options Clearing Corporation: Source: 2017 Options Expiration Calendar Get fresh content first. Join our newsletter.
The Core Options Trading Learning Path
The Core Options Trading Learning Path So, you want to learn about options trading, but where do you start? What’s the sequence of topics you should learn?Lucky for you, projectoption has a plethora of highly visual and in-depth guides on the most important options trading topics. If you read through each guide and work hard to […]