Option Greeks 101: An Introduction to Delta, Gamma, Theta, Vega, Rho and other Greeks

All option traders should be familiar with Option Greeks. Greeks are quantitative characteristics of options. They specify various types of risks (and opportunities) of options. With knowledge of Greeks, we can get a feel of how option price will move due to various moving parts in the market and underlying security.

This book is meant to be an introduction to Greeks. Knowing this subject matter will give the trader a stronger “feel” to option price movement and option behavior. The trader will make more informed decisions on entry, holding and exit of options. Options risks can be managed better by having a grasp on Greeks.

Numerous examples are given on each topic. Also practice questions, with answers, are given to strengthen the concepts.

This book is geared toward beginner to intermediate level option traders looking to improve their trading skills, candidates preparing for job interviews or certifications, finance students, and others.


CHAPTERS

Ch 1. Introduction to Greeks
Ch 2. Delta
Ch 3. Gamma
Ch 4. Theta
Ch 5. Vega
Ch 6. Rho and Advanced Greeks (preview)