Reading the implied move before earnings
Options tell you how big a move the market expects. Compare that with how the stock has actually moved, and the trade often chooses itself.
Read the noteOur insights
Notes on pricing, risk and volatility.
Short, practical notes on how options are priced and how we think about risk. Written to be useful whether or not you ever work with us.
Why we cap every position at the premium
Losses compound against you faster than gains compound for you. A rule that makes the worst case known at entry is the cheapest insurance there is.
Read the noteTheta and gamma: the trade you're always making
Every option position is a bet on whether the stock will move more or less than implied volatility says. Black–Scholes tells you exactly where the break-even is.
Read the note