Delta hedging is a risk management strategy used to reduce or neutralize the price movements of an underlying asset in options trading. By adjusting the positions in the underlying asset to match the ...
Delta is the easiest to understand of the option Greeks Delta is the second Greek letter used in options trading. Delta can easily be quantified as the change in option price relative to the ...
Key Takeaways An option is a contract giving the buyer the right—but not the obligation—to buy (in the case of a call) or sell (in the case of a put) the underlying asset at a specific price on or ...
Depending on how you think a stock might move, put options can help you make money if your view comes true. Many, or all, of the products featured on this page are from our advertising partners who ...