Praise for "Option Strategies Third Edition": 'Finally, a book on option strategies even guys like me can understand. Whether you're an options veteran or not, Courtney's years of experience will be of value to you' - Larry Williams, author of "Trade Stocks & Commodities with the Insiders: Secrets of the COT Report" and "Long-Term Secrets to Short-Term Trading". 'A comprehensive, well-organized, and highly accessible treatment of the arcane and intricate world of successful options trading. Well done' - Bob Pardo, Pardo Capital Limited. This is a comprehensive guide to key options trading strategies. Written in clear, nontechnical language, this comprehensive guide demystifies the complex world of options. In this revised and expanded Third Edition, options expert Courtney Smith details the ins and outs of this lucrative financial instrument.New chapters provide thorough coverage on predicting the direction of implied volatility, with emphasis on reversion, skew, and kurtosis, and include option valuation models with Web links to access models digitally. Filled with accessible examples, charts, and graphs, this book is the only guide traders and investors need to make the most of their time in today's dynamic options market. It's been more than a decade since the last edition of "Option Strategies" was published, and many would agree that the world of finance has seen significant changes along the way. During this time, options have grown in both scope and complexity, leaving traders with the tough task of trying to keep up with this important investment vehicle. That's why options expert Courtney Smith has created "Option Strategies, Third Edition".Written in a straightforward and accessible style, this comprehensive guide makes the complex world of options easier to grasp. In the fully revised and expanded Third Edition, Smith details the ins and outs of this lucrative financial instrument, covering everything from the fundamentals of options to the intricacies of options valuation and trading. Throughout these pages, you'll find essential insights on important options issues, such as carrying charges, strike prices, commissions, interest rates, and break-even points. Beyond the basics, you'll also learn about the bull and bear strategies needed to buy and sell calls, puts, spreads, straddles and combinations, synthetic positions, arbitrage, and much more. New chapters provide thorough coverage on predicting the direction of implied volatility and include option valuation models with Web links for digital access.They also address one of the most overlooked aspects of trading - psychology - and examine how it can affect your ultimate success in this field. Throughout the book, major strategies are highlighted and accompanied by a unique 'Decision Structure' that gives you a clear picture of how each strategy works, and advice on how to better plan your investments. Consisting of a series of questions and answers, these decision structures will assist you in analyzing potential trades, determining your objectives and the amount of risk you're prepared to take on, and deciding what follow-up action to take once you've entered a trade. While there are many ways to make money trading options, most people tend to lose money when undertaking this endeavor. Filled with accessible examples, charts, and graphs - as well as updated material in almost every chapter - "Option Strategies, Third Edition" contains all the information you need to excel in the high-risk, high-profit world of options.
Preface.Chapter 1. Introduction.Part One. Why And How Option Prices Move.Chapter 2. The Fundamentals Of Options.Chapter 3. The Basics Of Option Price Movements.Chapter 4. Advanced Option Price Movements.Chapter 5. Volatility.Part Two. Option Strategies.Chapter 6. Selecting A Strategy.Chapter 7. Buy A Call.Chapter 8. Buy A Put.Chapter 9. Naked Call Writing.Chapter 10. Covered Call Writing.Chapter 11. Ratio Covered Call Writing.Chapter 12. Naked Put Writing.Chapter 13. Covered Put Writing.Chapter 14. Ratio Covered Put Writing.Chapter 15. Bull Spreads.Chapter 16. Bear Spreads.Chapter 17. Butterfly Spreads.Chapter 18. Calendar Spreads.Chapter 19. Ratio Spreads.Chapter 20. Ratio Calendar Spreads.Chapter 21. Straddles And Strangles.Chapter 22. Synthetic Calls And Puts.Chapter 23. Synthetic Longs And Shorts.Chapter 24. How To Make Money Trading Options.Index.About The Author.For More Information.