The Option Trader’s Work Book: A Problem-Solving Approach, Second Edition

Index

Numbers

1:3:2 ratio trades, 228-233

A

accelerating time decay, 9

advanced ratio trades, 219-249

1:3:2 ratio, 228-233

expiration break-even point, 224-225

forward/reverse call ratios, 220-223

forward/reverse put ratios, 220-223

gamma versus delta, 240-243

implied volatility collapse, 230-232

long position hedges, 223-224

maximum loss, 228-230

relative risk, 247-249

risk protection hedges, 243-247

strangles versus, 236-238

time decay, 234-236

volatility, 225-227

Apple Computer, 32

arbitrage, dividend, 215-217

ask prices. See pricing

assigning value to call sides, 10

at-the-money (ATM), 26, 49

B

bear markets, 61

calendar spreads, 148

covered puts and calls, 98

diagonal calendar spreads, 159

vertical spreads, 127

bid prices. See pricing

Black-Scholes ...