Excellent explanation sir 🙏, I am from India I watched tasty trader videos hrs days together and in India nifty 50 index option I am trading selling 20 delta on either side every week and getting consistently exiting around 3 to 4% return on capital every week
THANK YOU!!! Now I have a much more thorough understanding of Delta. The most important Greek imo. 1. Delta: How much premium changes due to price movement; $1 movement in stock price with a .3 Delta = .30 cent move in the option price ($30/contract). 2. Delta: Probability of option expiring ITM (In the Money); So a .4 Delta means there is a 40% chance of expiring ITM or a 60% chance of expiring OTM (Out of the Money) 3. Delta: Can be thought of how much exposure you have to a stock. A .5 Delta can be equated/similar to owning 50 shares of said stock (this is ignoring the other Greeks tho...i think, please correct me if I'm wrong). That 50 shares could be more or less with Theta and Vega right?. But generically speaking it is the equivalent to owning 50 shares.
I always enjoy the energy by which you bring your videos, but I mainly stay looking at them for the clarity and practicality of what you explain. Thanks man for sharing your knowledge.
Correct! I’m a more risker trader but if Delta is above 40 its been in my experience to be a safe bet for a good return. The higher the Delta the likelihood that the option to be mote expensive.
Dr. Jim you are absolutely the best!
Excellent explanation sir 🙏, I am from India I watched tasty trader videos hrs days together and in India nifty 50 index option I am trading selling 20 delta on either side every week and getting consistently exiting around 3 to 4% return on capital every week
Same here bro!
0.2 Delta is basically 20 Delta right?
@@completelyrandomcontent3184 yes
That guy has a gift in teaching skills, I think we all agree on that...
THANK YOU!!! Now I have a much more thorough understanding of Delta. The most important Greek imo.
1. Delta: How much premium changes due to price movement; $1 movement in stock price with a .3 Delta = .30 cent move in the option price ($30/contract).
2. Delta: Probability of option expiring ITM (In the Money); So a .4 Delta means there is a 40% chance of expiring ITM or a 60% chance of expiring OTM (Out of the Money)
3. Delta: Can be thought of how much exposure you have to a stock. A .5 Delta can be equated/similar to owning 50 shares of said stock (this is ignoring the other Greeks tho...i think, please correct me if I'm wrong). That 50 shares could be more or less with Theta and Vega right?. But generically speaking it is the equivalent to owning 50 shares.
Sharp and clear, thank you sir!
what a great presentation skill set you have, thank you I am learning & very grateful for your work.
Great stuff -- the communication, camera quality, and pace of the info are all super good on these videos.
I always enjoy the energy by which you bring your videos, but I mainly stay looking at them for the clarity and practicality of what you explain. Thanks man for sharing your knowledge.
Great Job has been done, looking forward to listening to the whole series.
very good explanation, thank you
Thank you sir!!! Hard to process the greeks but stuff like this makes it so much easier, thank you again
Great video
Great info, Great content, Great presentation
Awesome brother! Happy 4th to you and the family !!
thank you
LOVE FORM INDIA ♥️
You are super!!
When the river runs into the sea the water slows down and drops the sediment it has been carrying thus forming a delta.
what does "pop" mean when u say that you'll have a pop of 65% if u sell an option that has a delta of 35?
legenda
Interesting, but you should add practical examples for every statement by using Tasty's option chains.
Great content. Bad audio
Very very good.............understanding this, if correct, if you are a BUYER of an option, would you therefore seek a HIGH DELTA?
Correct. Anywhere between 80-90 delta is typically recommended for option buying.
Correct!
I’m a more risker trader but if Delta is above 40 its been in my experience to be a safe bet for a good return. The higher the Delta the likelihood that the option to be mote expensive.
Well, it depends. Lower delta means lower probability that it will work, but they also cost less. So it’s gimmes and gotchas
How would you break down the concept of (Delta Neutral) and where would it apply. Thanks. I get a lot out of your style of teaching.
Please make subtitles available for deaf people
Examples would have made things a bit clearer
no one will show how to find delta,
"Are they really your friends" lol. zero sum game.
haha what video should i watch if this makes no sense? where is the babies course?
Thank you
thank you