When we think of the stock market, one of the first concepts that comes to mind is trading shares. However, options trading is an increasingly popular and powerful way to take positions on a stock without owning it directly. Two crucial components of options trading are long calls and long puts, bot...
Understanding Options DeltaIn the intricate world of options trading, one of the most vital metrics is Delta. Often referred to as the “hedge ratio,” Delta represents the rate of change in the price of an option for a $1 change in the price of the underlying asset. It serves as a crucial tool for tr...
Imagine entering a trade where the market's behavior is as unpredictable as a roller coaster ride. You've placed your bets on a stock moving in a certain direction, but you're not entirely sure how it will play out. This is where the long call diagonal debit spread strategy can offer a unique edge. ...
