Largely we live in a country and culture where choices can be multiplied to the highest sum. One where we find strange pleasure in our relentless attempt to pat the brim of the thinkable: Four ...

Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Yarilet Perez is an experienced multimedia journalist and fact-checker with a ...

What is Theta? What is option time decay? How does time decay work? These are common questions of beginning options traders. Theta is the Greek term used to denote option time decay. Theta is one of ...

Today let's talk about one of the 'Greeks' in options trading that doesn't get enough coverage -- and that's Theta. Theta measures how much value an option will lose each day due to the passage of ...

Intrinsic value is the current worth of an option if exercised now; time value decreases as expiration nears. Theta measures the daily decrease in an option's time value as it approaches its ...

J.W. Jones writes: As discussed in the first article, “The Hidden Potential of Learning How to Trade SPX and Gold Options” I pointed out that there are several fundamental principles that must be ...

Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Trading options may seem complicated, but there are tools available that can ...

Time decay refers to the rate at which time reduces the value of an option. First, it's essential to understand that time decay is exponential and accelerates as expiration draws closer. The rate of ...

Have you found strategies that make use of the decay of an option's theta that are attractive but you can't stand the associated risk? At the same time, conservative strategies such as covered-call ...

In the world of options, letters of the Greek alphabet (known as "option Greeks," or simply "the Greeks") are used to describe the changes in option premiums that result from the interplay among the ...