Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
6 Cards in this Set
- Front
- Back
|
Position Limits
|
-Leverage (Simple Most Important Purpose)
-"Same side of Market" (Bullish vs. Bearish) |
|
|
Non-Equity Options
|
Index-Options
*S&P 500 (SPX) *S&P 100 (OEX) Formula = INTRINSIC VALUE is the amt received (in cash) -Intrinsic Value is determined @ Market close. |
|
|
VIX
|
Volatility Index (a.k.a. - Fear Index)
-Tracks volatility of the S&P 500 |
|
|
European vs. American Options
|
-European can only be exercised @ Expiration
-American can be exercised ANYTIME! (Freedom!) |
|
|
Vertical Price Spread
|
Strike Prices are different
|
|
|
Horizontal Time Spred (Calendar Spread)
|
Same SP but Expiration Months are different
|
