The Heston Model (Part II)

[@hichamboukharsa1639]

Really interesting thank you for this video, waiting for part 3 to discuss calibration and pricing

[@sz7232]

Great explanation thank you ! waiting for part 3.

[@hello_world704]

When is part 3 going to come out?

[@Dods30]

How are you able to discern the put/calls on the same volatility curve? Put/call parity?

[@quantnext4773]

Yes exactly.
By call-put parity you have, for a given strike K and maturity T, with sigma the Black-Scholes (BS) implied volatility from the call price:
put_price = callBS(sigma) + K.exp(-r.T) - S = putBS(sigma)
So the BS implied volatility of the put is equal to the BS implied volatility of the call.

[@yyyy-h9e5q]

Part 3 please🥹🥹🥹