Strategy Post - 3/18/2024 - The Greeks of Options: What are they? (1/5 in the Greeks Series)
Hi readers, I hope you are all doing well! In this post, I will be giving you a small piece of exposure to the Greeks of options. Understanding what the Greeks are will definitely help an options trader make great adjustments to positions, and understanding how the Greeks work together will result in an options trader being very fundamentally sound and very profitable. This is the first post in a 5-post series, where each post will cover one of the 5 Greeks of Options. Today's post will cover what Delta is, I hope you enjoy! First, here is some background on what Greeks are in Options trading. Greeks are simply types of risk measures that options have. Greeks also measure changes in options price, time value, volatility, and more in result of any change in the underlying stock. The Greek we will cover today is called Delta. What is Delta? Delta measures how much the price of an option will change due to a $1 change in the underlying stock. The deltas for long call options and shor...