Search a title or topic

Over 20 million podcasts, powered by 

Player FM logo
Artwork

Content provided by tastylive. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by tastylive or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://player.fm/legal.
Player FM - Podcast App
Go offline with the Player FM app!

Options Jive - May 8, 2025 - Gamma Risk in Neutral Trades

12:40
 
Share
 

Manage episode 481386950 series 68544
Content provided by tastylive. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by tastylive or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.
Hosts discuss gamma risk in options trading, focusing on how delta-neutral trades can become risky as expiration approaches. Gamma, which measures the change in delta, increases exponentially for at-the-money options near expiration. The presentation emphasizes that straddles have higher gamma risk than strangles, with wider spreads reducing gamma exposure. The closer to expiration, the more susceptible positions become to market movements. Key takeaway: Traders should manage positions early (before 21 days to expiration) to control gamma risk, focusing on what can be controlled rather than underlying price movements.
  continue reading

1582 episodes

Artwork
iconShare
 
Manage episode 481386950 series 68544
Content provided by tastylive. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by tastylive or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.
Hosts discuss gamma risk in options trading, focusing on how delta-neutral trades can become risky as expiration approaches. Gamma, which measures the change in delta, increases exponentially for at-the-money options near expiration. The presentation emphasizes that straddles have higher gamma risk than strangles, with wider spreads reducing gamma exposure. The closer to expiration, the more susceptible positions become to market movements. Key takeaway: Traders should manage positions early (before 21 days to expiration) to control gamma risk, focusing on what can be controlled rather than underlying price movements.
  continue reading

1582 episodes

Alla avsnitt

×
 
Loading …

Welcome to Player FM!

Player FM is scanning the web for high-quality podcasts for you to enjoy right now. It's the best podcast app and works on Android, iPhone, and the web. Signup to sync subscriptions across devices.

 

Listen to this show while you explore
Play