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Anyone used the Greeks in connection with Options ?

chartgues
chartgues ✭
in Trading Strategies
I know what they are, how do you use ?????

Best Answer

  • markd
    markd mod
    edited March 2024 Answer ✓
    Maybe you already know this, but the greeks are used to calculate the expected, or fair, price of an option, given the time left and characteristics the underlying. The video below explains a fair value calculator available on the CBOE website. So you wouldn't sell contracts (go short) below that price, and you wouldn't go long above that price. At least in theory, most of the time.

    Here's a good explanation on Youtube:

    https://www.youtube.com/watch?v=bS4cEDWOhhk

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