This concept may seem confusing at first, especially if you are new to options trading. However, by understanding a few key definitions, the process will become clearer. Once these definitions are covered, we will explore some examples to help illustrate the concept further. Types of Options It is essential to take notes and write down … Read more
The world of option trading has been revolutionized by the integration of artificial intelligence (AI), offering traders advanced tools to predict market trends and manage risks. By leveraging AI-driven strategies, traders can make informed decisions, enhance accuracy, and maximize profitability. This guide explores the essentials of AI-based option trading strategies and how you can master … Read more
Options are financial contracts that provide the right, but not the obligation, to buy or sell an underlying asset at a specific price, known as the strike price, before a predetermined expiration date. Traders can buy and sell options on the same brokerage platforms used for stock trading. There are two main types of options: … Read more
According to Investopedia, implied volatility (IV) is a key metric that reflects the market’s view of the likelihood of changes in a given security’s price. In simple terms, it shows how much buyers and sellers of a specific option expect its price to fluctuate. This expectation, often referred to as the “expected move” of the … Read more