Time decay refers to the rate at which time reduces the value of an option. First, it's essential to understand that time decay is exponential and accelerates as expiration draws closer. The rate of ...

Implied volatility, time decay, and delta all play crucial roles in option prices As you may well be aware, it's very common for option players to close out their trades without ever touching the ...

Option pricing is calculated using the Black-Scholes model, which takes four influential factors into account: the price of an underlying stock (assuming constant drift and volatility), an option’s ...

In this video we are talking about my LEAPS + Income Portfolio results for September 2025 and specifically how I created $1,500 in income for the month with a cash balance of less than $50K by selling ...

What Is a Stock Option? A stock option is a contract giving its holder the right, but not the obligation, to buy or sell a stock at a given price before a specific date. There are two main types of ...

Discover how Vega affects options pricing by measuring sensitivity to volatility changes. Learn its impact on trading strategies with clear examples and key takeaways.

The option Greeks (Delta, Gamma, Theta, Vega and Rho) are option trading indicators to predict price changes and manage risk in their trading strategy. Each Greek measures a different aspect of an ...

When you’re confident about a stock but don’t want to tie up huge amounts of capital, deep in-the-money (ITM) calls can be one of the smartest options strategies available. They give you stock-like ...