#422 in Business & money books
Use arrows to jump to the previous/next product
Reddit mentions of Option Volatility and Pricing: Advanced Trading Strategies and Techniques, 2nd Edition
Sentiment score: 4
Reddit mentions: 17
We found 17 Reddit mentions of Option Volatility and Pricing: Advanced Trading Strategies and Techniques, 2nd Edition. Here are the top ones.
Buying options
View on Amazon.comor
- McGraw-Hill
- It is durable and long lasting
- It ensures you get the best usage for a longer period
Features:
Specs:
Height | 9.2 Inches |
Length | 6.2 Inches |
Number of items | 1 |
Weight | 1.87613384962 Pounds |
Width | 2.1 Inches |
My friend recommended me this when I first started, but the truth is all the reading in the world isn't going to give you real-world experience. Start small, do your research, thorough research. Learn about greeks, IV, when to take profit, ect. Study the stocks you're interested in and know about, don't worry about trying to follow someone else's trades on a company you know nothing about.
Personally, I started small with 250 and made smart choices to bump it up to 2400 in three weeks, but I got cocky and didn't fully research an investment so I lost 1000 in one trade. If I had kept a level head I would have noticed that there was a significant short interest trying to drive the stock down and the low volume added fuel to the fire. Undervalued or not, hedge funds with billions to throw around can influence the stock price of most companies quite a bit, always be aware of that.
Once you gain some experience and understanding, day trading with the current level of volatility is pretty easy albeit risky at times. Just remember to not gamble with money you can't afford to lose. It may be boring but I keep about 5/6ths of my portfolio in equity that I rarely touch. For every one person you see on this sub that turns 40k into 250k on a MU yolo, there are ten others that turned their 40k into 0k. Be smart and goodluck!
Pretty sure someone posted this as a joke, but currently am reading this monster. Probably a bit deep of a read if you are just starting out.
https://www.amazon.com/gp/aw/d/0071818774/
first this
then this
This website is a good source of higher level information:
Cfapubs.org
This book helped me:
https://www.amazon.com/gp/aw/d/0071818774/ref=mp_s_a_1_1?ie=UTF8&qid=1523193422&sr=8-1&pi=AC_SX236_SY340_FMwebp_QL65&keywords=option+volatility+and+pricing&dpPl=1&dpID=51RxE6P0LkL&ref=plSrch
Two excellent titles on the subject are Option Volatility and Pricing: Advanced Trading Strategies and Techniques, 2nd Edition by Natenberg and Options, Futures, and Other Derivatives (10th Edition) by Hull.
The former is lighter, more entertaining read that is easier on math and touches on applied trading. The latter is a more thorough, academic title.
A number of other helpful resources are available. The Ally Invest Options Playbook provides a handy reference for various option strategies. The Interactive Brokers Probability Lab (free version linked at the bottom of the page) provides a modeling tool to visually explore option strategies by modifying expectations of volatility and price. CBOE offers a complete course on the subject. Finally, Tastytrade offers a long running set of shows, tutorials and discussions covering many aspects of options and option trading.
Oops! Sorry was listening to some 50 copied wrong link. More beginner resources at :
http://education.optionseducation.org/course/?podcasts=1
https://www.cboe.com/LearnCenter/webcast/
Books:
http://www.amazon.ca/Options-Strategic-Investment-Lawrence-McMillan/dp/0735204659
http://www.amazon.ca/Option-Volatility-Pricing-Strategies-Techniques/dp/0071818774/ref=sr_1_7?s=books&ie=UTF8&qid=1418529768&sr=1-7&keywords=options
in all seriousness check these out
https://www.amazon.com/Technical-Analysis-Complete-Financial-Technicians/dp/0134137043/ref=pd_lpo_sbs_14_img_0?_encoding=UTF8&psc=1&refRID=D74P3MCZFQVYMZ4PBFT9
https://www.amazon.com/Encyclopedia-Technical-Market-Indicators-Second/dp/0070120579/ref=pd_sim_14_33?_encoding=UTF8&pd_rd_i=0070120579&pd_rd_r=WXSXAV2Q884X3RWTYDP1&pd_rd_w=uoVZY&pd_rd_wg=hgPmk&psc=1&refRID=WXSXAV2Q884X3RWTYDP1
https://www.amazon.com/Complete-Guide-Futures-Market-Fundamental/dp/111885375X/ref=sr_1_3?s=books&ie=UTF8&qid=1492128977&sr=1-3&keywords=jack+d+schwager
https://www.amazon.com/Options-Futures-Other-Derivatives-9th/dp/0133456315/ref=dp_ob_image_bk
https://www.amazon.com/Option-Volatility-Pricing-Strategies-Professional/dp/0071818774/ref=sr_1_1?s=books&ie=UTF8&qid=1492129026&sr=1-1&keywords=sheldon+natenberg+option+volatility+and+pricing
https://www.amazon.com/Bible-Options-Strategies-Definitive-Practical/dp/0133964027/ref=sr_1_1?s=books&ie=UTF8&qid=1492129036&sr=1-
RTFM before you buy. Chapter 25
https://www.amazon.com/Option-Volatility-Pricing-Strategies-Professional/dp/0071818774/ref=zg_bs_2672_3?_encoding=UTF8&psc=1&refRID=349CSEGTX0DJYR7A26SW
Option Volatility and Pricing: Advanced Trading Strategies and Techniques, 2nd Edition https://www.amazon.com/dp/0071818774/ref=cm_sw_r_cp_api_i_mm2qDbQRT7CNJ
Take that $100 and buy this: https://www.amazon.com/gp/aw/d/0071818774/ref=dp_ob_neva_mobile
Use the remaining $25 for a case of whatever shitty beer people your age drink today. In my youth it was the beast. Not sure that even exists anymore.
https://www.dough.com/
https://www.tastytrade.com/tt/shows/wdis-season-1-tom-case?locale=en-US
(I recommend doing doughjo first. You will have to watch WDIS videos to get the certificate)
http://www.reddit.com/r/investing/comments/1k6481/sheldon_natenbergs_option_volatility_and_pricing/
NEW VERSION: http://www.amazon.com/Option-Volatility-Pricing-Strategies-Techniques/dp/0071818774/ref=sr_1_1?s=books&ie=UTF8&qid=1420568538&sr=1-1&keywords=sheldon+natenberg
OLD VERSION: http://terredegaia.free.fr/ppics/Trading/Mcgraw-Hill%20-%20Option%20Pricing%20And%20Volatility%20-%20Advanced%20Strategies%20And%20Trading%20Techniques%20-%20Sheldon%20Natenberg%20-%20(1994).pdf
I started with this...
http://www.amazon.com/Understanding-Options-2E-Michael-Sincere/dp/0071817840/ref=sr_1_2?s=books&ie=UTF8&qid=1452437941&sr=1-2&keywords=options+for+beginners
Then after a year or two I moved on to this...
http://www.amazon.com/Option-Volatility-Pricing-Strategies-Techniques/dp/0071818774/ref=sr_1_1?s=books&ie=UTF8&qid=1452438013&sr=1-1&keywords=option+pricing+and+volatility
This is a good reference to keep by your side when thinking about strategies....
http://www.amazon.com/Options-Playbook-Expanded-2nd-strategies/dp/0615308147/ref=sr_1_1?s=books&ie=UTF8&qid=1452438066&sr=1-1&keywords=option+playbook
Not just about vol trading but the ultimate option bible "Option Volatility and Pricing: Advanced Trading Strategies and Techniques" by Natenberg. Might be a little bit more broad than what you're looking for but this book is phenomenal. Was recommended to me by an option trader at a BB.
https://www.amazon.com/Option-Volatility-Pricing-Strategies-Techniques/dp/0071818774
You are fundamentally misunderstanding markets in the second part. If every buyer has a seller then the transactions are "closed" and nothing happens at expiration day. If you're left holding the bag on expiration day you'll be forced to take issue of the underlying (in the case of a long) or find the stock to give to the counterparty (in the case of a short).
The first edition is from 1988, and the Amazon reviews for the second edition say that there are a lot of errors in the new version. How well does the 1988 edition hold up to current trading strategies? Or is there another newer book that you would recommend?
EDIT: Any thoughts on The Rookie's Guide to Options; 2nd edition: The Beginner's Handbook of Trading Equity Options by Mark D Wolfinger? Or Options as a Strategic Investment by Lawrence G. McMillan?
https://www.amazon.com/Option-Volatility-Pricing-Strategies-Professional/dp/0071818774
> Natenberg's book
The "advanced" one? I noticed there's a "basic" and also a "regular" version.