delta

The Blue Collar Investor WeBlog Investment Strategies by Alan Ellman

Entries Tagged as 'delta'

The Philosophy of Strike Selection

May 29th, 2010 · 46 Comments

You’re sitting at a blackjack table and looking at two eights, oh my, a sixteen! The dealer shows a ten and you realize that you are in BIG trouble. He probably has a twenty so you take a card and pray.
Next hand…two eights again. The dealer now shows a five and probably has fifteen and will [...]

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Tags: At-the-money strike · Ellman Calculator · Out-of-the-money strike · delta · option chain · strike price

Delta and Covered Call Writing

February 6th, 2010 · 39 Comments

Several months ago I wrote an article concerning the Greeks, which measure an option’s exposure to risk. Those of us who study options are constantly reading and hearing that delta, one of the greeks, is one of the most powerful influences over option value. Because of this and your interest in the subject, as expressed in [...]

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Tags: delta · greeks · implied volatility

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