Trading Weekly Options + Online Video Course: Pricing Characteristics and Short-Term Trading Strategies

322 Pages·2014·5.58 MB·English

by  Russell Rhoads

CONTENTS
Cover
Half Title
Series Page
Title Page
Copyright Page
Dedication
Preface
Acknowledgments
Chapter 1: Introducing Weekly Options
Evolution of Weekly Options
Popularity of Weekly Options
Option Expiration Dates Explained
Option Symbols and Weeklys
Chapter 2: Short-Term Index Options
Dow Jones Industrial Average (DJX)
Russell 2000 (RUT)
NASDAQ-100 (NDX)
S&P 100 Weeklys (OEX and XEO)
S&P 500 (SPX, SPXPM, SPXW)
Index Option Comparisons
Comparing Index and Exchange-Traded Fund
Options
Chapter 3: Weekly Options on Equities and Exchange-
Traded Products
Stocks
Exchange-Traded Products
Leveraged Exchange-Traded Products
Inverse Exchange-Traded Products
Volatility-Related Exchange-Traded Products
Summary
Chapter 4: Option-Pricing Factors and Short-Dated
Option Contracts
Underlying Market Price
Days to Expiration
Implied Volatility
Interest Rates
Dividends
Chapter 5: Time Decay and Short-Dated Options
Behavior of Time Decay
Weekends and Time Decay
Time Decay and Trading Decisions
Avoiding Time Decay
Chapter 6: Implied Volatility and Weekly Options
Time to Expiration and Implied Volatility
Interpreting Implied Volatility
Behavior of Implied Volatility
Implied Volatility across Expiration Dates and
Strike Prices
Chapter 7: Developing Your Trading Plan
Markets to Trade
Trading Strategies
Trading Decisions
Capital and Risk Management
Keeping a Trading Record
Tying It All Together
Chapter 8: Long Option Trades
Long Call
Long Put
Chapter 9: Short Option Trades
Short Call
Short Put
Selling a Put to Purchase Shares
CBOE PutWrite Index
Tying Short-Dated Option Selling Together
Chapter 10: Covered Calls and BuyWrites
Covered Call Basics
Covered Call Trading Examples
Covered Calls and Dividends
Index Options and Covered Calls
CBOE S&P 500 BuyWrite Index
CBOE S&P 500 2 Percent OTM BuyWrite Index
Chapter 11: Hedging with Short-Dated Options
Protective Put
Protective Put Trading Example
The Collar
Trading Example Using the Collar
The Modified Collar
The Modified Collar Trading Example
Chapter 12: Bullish Spread Trading
Bullish Vertical Spread
Bullish Spread Trading Examples
Chapter 13: Bearish Spread Trading
Bearish Vertical Spread
Bearish Spread Trading Examples
Chapter 14: Neutral Spread Trading
Iron Butterfly
Iron Butterfly Trading Examples
Iron Condor
Iron Condor Trading Examples
Chapter 15: Split Strike Long Spreads
Synthetic Long and Short
Split-Strike Positions
Split-Strike Trading Example
Bull-Put Spread Plus Long Call
Chapter 16: Calendar Spreads
Calendar Spread Overview
Time Value and Implied Volatility
Option Skew
Trading Example
Chapter 17: Diagonal Spreads
Diagonal Spread Overview
Short-Term Diagonal Spreads
Short-Term Bullish Diagonal Spread
Short-Term Bearish Diagonal Spread
Long-Term Diagonal Spreads
Long-Term Bullish Diagonal Spread Trade
Bearish Diagonal Spread Trade
Chapter 18: Trading Earnings Releases with Short-Dated
Options
Stock Prices and Earnings
Option Prices and Earnings
The Earnings Announcement
Earnings Trades
Earnings Trading Strategies
Chapter 19: Leveraged Exchange-Traded Products
Leveraged Long
Leveraged Short
Chapter 20: VIX-Related Exchange-Traded Products
iPath S&P 500 VIX Short Term Futures ETN
(VXX)
ProShares Ultra VIX Short-Term Futures ETF
(UVXY)
About the Video
About the Author
Index
Access Code
TRADING WEEKLY OPTIONS
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or somewhere in-between, these books will provide the advice and strategies
needed to prosper today and well into the future.
For more on this series, visit our website at www.WileyTrading.com.
TRADING WEEKLY
OPTIONS

Pricing Characteristics and
Short-Term Trading Strategies

Russell Rhoads, CFA