The advantage of trading in Nifty future and Nifty Option: 1. Lower spreads: The spread means bid-ask difference, it is the price difference in the quote of buyers and sellers. It is important for traders, especially for those who use scalping trade strategies. Lower the difference the lower...
Options trading has been an often discussed and dissected topic. FX options trading basics For investors buying equity options, the future can be reasonably predictable; they may not know what the market is going to do, but they already have a worst-case scenario - the most they can lose is...
Future Research Directions One direction that we could have looked into if we had more time would be considering exotic options. Many of them preclude a closed form solution, but they would have been a good direction to look at with the application side since we had already developed the theo...
(being the most volatile among all cryptocurrencies) options can be best evaluated in the context of VIX movement. The index was trading at .a low price for dataset-I and at a high price for dataset-II, as shown in Fig.1. The descriptive statistics for Bitcoin and the VIX over the ...
PURPOSE: A method for trading futures/option is provided to selectively perform a new buying/selling order, the order correction, and the order cancellation for a desired item through one complex order window. CONSTITUTION: A customer requests the futures/option trade by connecting to a provider ...
Long Call vs Short Call – Option Trading Strategies Option Trading Strategies — The Seven You Need to Know ExclusiveWhat It Means to Be 'In-the-Money' – Options Trading PREMIUM SERVICES FOR INVESTORS Dr. Mark Skousen Named one of the “Top 20 Living Economists,” Dr. Skousen is a profe...
Computed using an options-pricing model, IV is expressed as a percentage and reflects the market's perception about the potential volatility of the underlying stock in the future. How can a trader determine whether a stock's IV is high or low? One way is to use the IV Percentile, ...
Adjusting to Options Trading One of the major hurdles for new options traders comes from trying totrade optionsthe same way they traded standard stock. In essence, options are really holds on future decisions: when you buy an option (on any kind of security), you're claiming your ability to...
Call Option vs. Forward Contract: An Overview Forward contracts and call options are different financial instruments that allow two parties to purchase or sell assets at specified prices on future dates. Forward contracts and call options can be used to hedge assets or speculate on the future ...
however. This adds additional potential profit to a long put that's bought very "cheaply." Being aware of the price-volatility dynamic and its relation to your option position can significantly affect your trading performance.