Understanding the Greeks of Options Trading

When dealing with stock trading, most people if they know anything at all about trading, buy or sell stocks. Using this approach, you can only make money for stocks that are moving in your intended direction. You can make money if the stock goes up... you can make money if the stock goes down. You can't do jack if the stock is moving sideways.

Options provide an alternative. You can make money if the stock is moving up, down or sideways. There are some additional risks which are important to understand. This session will introduce stock options and the 3 contributing factors that make up an options price. We take a look at technical analysis for evaluating a trade. Finally we'll look at a call and put vertical based on our analysis with a discussion of option greeks and their effect over time.