Author Archives for Fmarketuser

Understanding gamma – part 3

December 11, 2023 11:01 am Published by Fmarketuser Leave your thoughts

In the previous posts we had looked at a delta hedged short call position, which we argued was a way... View Article

December 4, 2023 10:46 am Published by Fmarketuser Leave your thoughts

Gamma is defined as the rate of change of delta with respect to a given change in the underlying price. ... View Article

November 3, 2023 11:45 am Published by Fmarketuser Leave your thoughts

Introduction Over the last few posts we have spent a fair amount of time looking at delta as a measure... View Article

October 27, 2023 1:28 pm Published by Fmarketuser Leave your thoughts

In the previous post we looked at the payoff that combined a short call position with a delta hedge such... View Article

September 29, 2023 3:19 pm Published by Fmarketuser Leave your thoughts

In the previous post we had sold 100 ATM call options on Tesla and hedged the delta exposure by purchasing... View Article

September 1, 2023 1:57 pm Published by Fmarketuser Leave your thoughts

Let’s start with a quick recap of a couple of key concepts. Suppose you have bought a 3 month ATM... View Article

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