{"product_id":"the-option-trader-handbook-9780470481615","title":"The Option Trader Handbook","description":"\u003cb\u003eBook Synopsis\u003c\/b\u003e\u003cbr\u003e\u003cp\u003eStrategies, tools, and solutions for minimizing risk and volatility in option trading\u003c\/p\u003e \u003cp\u003eAn intermediate level trading book, \u003ci\u003eThe Option Trader Handbook, Second Edition\u003c\/i\u003e provides serious traders with strategies for managing and adjusting their market positions. This \u003ci\u003eSecond Edition\u003c\/i\u003e features new material on implied volatility; Delta and Theta, and how these measures can be used to make better trading decisions. The book presents the art of making trade adjustments in a logical sequence, starting with long and short stock positions; moving on to basic put and call positions; and finally discussing option spreads and combinations.\u003c\/p\u003e \u003cul\u003e \u003cli\u003eCovers different types of underlying positions and discusses all the possible adjustments that can be made to that position\u003c\/li\u003e \u003cli\u003eOffers important insights into more complex option spreads and combinations\u003c\/li\u003e \u003cli\u003eA timely book for today''s volatile markets\u003c\/li\u003e \u003c\/ul\u003e \u003cp\u003eIntended for both stock and option traders, this book wil\u003cbr\u003e\u003cbr\u003e\u003cb\u003eTable of Contents\u003c\/b\u003e\u003cbr\u003e\u003c\/p\u003e\u003cp\u003ePreface to the First Edition xiii\u003c\/p\u003e \u003cp\u003ePreface to the Second Edition xvii\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 1 Trade and Risk Management 1\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIntroduction 1\u003c\/p\u003e \u003cp\u003eThe Philosophy of Risk 2\u003c\/p\u003e \u003cp\u003eTruth About Reward 5\u003c\/p\u003e \u003cp\u003eRisk Management 6\u003c\/p\u003e \u003cp\u003eRisk 6\u003c\/p\u003e \u003cp\u003eReward 9\u003c\/p\u003e \u003cp\u003eBreakeven Points 11\u003c\/p\u003e \u003cp\u003eTrade Management 11\u003c\/p\u003e \u003cp\u003eTrading Theme 11\u003c\/p\u003e \u003cp\u003eThe Theme of Your Portfolio 14\u003c\/p\u003e \u003cp\u003eDiversification and Flexibility 15\u003c\/p\u003e \u003cp\u003eTrading as a Business 16\u003c\/p\u003e \u003cp\u003eStart-Up Phase 16\u003c\/p\u003e \u003cp\u003eGrowth Phase 19\u003c\/p\u003e \u003cp\u003eMature Phase 20\u003c\/p\u003e \u003cp\u003eJust Business, Nothing Personal 21\u003c\/p\u003e \u003cp\u003eSCORE—The Formula for Trading Success 21\u003c\/p\u003e \u003cp\u003eSelect the Investment 22\u003c\/p\u003e \u003cp\u003eChoose the Best Strategy 23\u003c\/p\u003e \u003cp\u003eOpen the Trade with a Plan 24\u003c\/p\u003e \u003cp\u003eRemember Your Plan and Stick to It 26\u003c\/p\u003e \u003cp\u003eExit Your Trade 26\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 2 Tools of the Trader 29\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIntroduction 29\u003c\/p\u003e \u003cp\u003eOption Value 30\u003c\/p\u003e \u003cp\u003eOption Pricing 31\u003c\/p\u003e \u003cp\u003eStock Price 31\u003c\/p\u003e \u003cp\u003eStrike Price 32\u003c\/p\u003e \u003cp\u003eTime to Expiration 32\u003c\/p\u003e \u003cp\u003eVolatility 33\u003c\/p\u003e \u003cp\u003eDividends 33\u003c\/p\u003e \u003cp\u003eInterest Rates 33\u003c\/p\u003e \u003cp\u003eOption Greeks and Risk Management 34\u003c\/p\u003e \u003cp\u003eTime Decay 34\u003c\/p\u003e \u003cp\u003eTrading Lessons Learned from Time Decay (Theta) 41\u003c\/p\u003e \u003cp\u003eDelta\/Gamma 43\u003c\/p\u003e \u003cp\u003eDeep-in-the-Money Options 46\u003c\/p\u003e \u003cp\u003eImplied Volatility 49\u003c\/p\u003e \u003cp\u003eEarly Assignment 63\u003c\/p\u003e \u003cp\u003eSynthetic Positions 65\u003c\/p\u003e \u003cp\u003eSynthetic Stock 66\u003c\/p\u003e \u003cp\u003eLong Stock 66\u003c\/p\u003e \u003cp\u003eShort Stock 67\u003c\/p\u003e \u003cp\u003eSynthetic Call 68\u003c\/p\u003e \u003cp\u003eSynthetic Put 70\u003c\/p\u003e \u003cp\u003eBasic Strategies 71\u003c\/p\u003e \u003cp\u003eLong Call 71\u003c\/p\u003e \u003cp\u003eShort Call 72\u003c\/p\u003e \u003cp\u003eLong Put 73\u003c\/p\u003e \u003cp\u003eShort Put 74\u003c\/p\u003e \u003cp\u003eBasic Spreads and Combinations 75\u003c\/p\u003e \u003cp\u003eBull Call Spread 75\u003c\/p\u003e \u003cp\u003eBull Put Spread 76\u003c\/p\u003e \u003cp\u003eBear Call Spread 77\u003c\/p\u003e \u003cp\u003eBear Put Spread 78\u003c\/p\u003e \u003cp\u003eLong Straddle 78\u003c\/p\u003e \u003cp\u003eLong Strangle 79\u003c\/p\u003e \u003cp\u003eShort Straddle 80\u003c\/p\u003e \u003cp\u003eShort Strangle 81\u003c\/p\u003e \u003cp\u003eAdvanced Spreads 82\u003c\/p\u003e \u003cp\u003eCall Ratio Spread 82\u003c\/p\u003e \u003cp\u003ePut Ratio Spread 83\u003c\/p\u003e \u003cp\u003eCall Ratio Backspread 84\u003c\/p\u003e \u003cp\u003ePut Ratio Backspread 85\u003c\/p\u003e \u003cp\u003eLong Butterflies 86\u003c\/p\u003e \u003cp\u003eShort Butterflies 87\u003c\/p\u003e \u003cp\u003eLong Calendar Spreads 88\u003c\/p\u003e \u003cp\u003eShort Calendar Spreads 89\u003c\/p\u003e \u003cp\u003eThe Greeks and Spread Trades 90\u003c\/p\u003e \u003cp\u003eDelta\/Gamma 91\u003c\/p\u003e \u003cp\u003eVega 92\u003c\/p\u003e \u003cp\u003eOther Greeks and Spreads 93\u003c\/p\u003e \u003cp\u003eValuable Derivative Traders Program 93\u003c\/p\u003e \u003cp\u003eStep 1: VEGA and Implied Volatility (IV) 94\u003c\/p\u003e \u003cp\u003eStep 2: Delta and Strike Selection 96\u003c\/p\u003e \u003cp\u003eStep 3: Theta and How Much Time to Expiration 97\u003c\/p\u003e \u003cp\u003ePutting the Program to Work 99\u003c\/p\u003e \u003cp\u003eIntroduction to Trade Adjustments 100\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 3 Long Stock 105\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIntroduction 105\u003c\/p\u003e \u003cp\u003eProtective Put 106\u003c\/p\u003e \u003cp\u003eStock Moves Higher 109\u003c\/p\u003e \u003cp\u003eStock Moves Lower 111\u003c\/p\u003e \u003cp\u003eBear Put Spread 114\u003c\/p\u003e \u003cp\u003eRolling from a Protective Put into a Bear Put Spread 116\u003c\/p\u003e \u003cp\u003eRolling from a Bear Put Spread into a Protective Put 118\u003c\/p\u003e \u003cp\u003eCall Replacement 120\u003c\/p\u003e \u003cp\u003eStock Moves Higher 121\u003c\/p\u003e \u003cp\u003eStock Moves Lower 122\u003c\/p\u003e \u003cp\u003eCall Replacement versus Protective Put 123\u003c\/p\u003e \u003cp\u003eSell Covered Calls 123\u003c\/p\u003e \u003cp\u003eStock Moves Higher 125\u003c\/p\u003e \u003cp\u003eStrike Selection 127\u003c\/p\u003e \u003cp\u003eIn the Money Calls 128\u003c\/p\u003e \u003cp\u003eTime to Expiration 131\u003c\/p\u003e \u003cp\u003eScaling-Out Strategy 132\u003c\/p\u003e \u003cp\u003eCollars 134\u003c\/p\u003e \u003cp\u003eOpening Position—Regular Collar 134\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Profit Collar 137\u003c\/p\u003e \u003cp\u003eRatio Write 139\u003c\/p\u003e \u003cp\u003eOpening Position 140\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Regular Ratio Write 143\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Variable Strike Ratio Write 149\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Ratio Write\/Variable Strike Ratio Write 153\u003c\/p\u003e \u003cp\u003eShort Straddle\/Short Strangle 156\u003c\/p\u003e \u003cp\u003eOpening Position—Short Straddle 156\u003c\/p\u003e \u003cp\u003eOpening Position—Short Strangle 160\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Short Straddle 163\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Short Strangle 168\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Short Straddle\/Stock Repair 172\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Short Strangle 176\u003c\/p\u003e \u003cp\u003eCall Ratio Spread 179\u003c\/p\u003e \u003cp\u003eOpening Position 182\u003c\/p\u003e \u003cp\u003eStock Moves Higher 186\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Stock Repair Strategy 191\u003c\/p\u003e \u003cp\u003eCall Calendar Spread 193\u003c\/p\u003e \u003cp\u003eOpening Position 195\u003c\/p\u003e \u003cp\u003eStock Moves Higher 196\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 4 Short Stock 201\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIntroduction 201\u003c\/p\u003e \u003cp\u003eProtective Call—Insurance 203\u003c\/p\u003e \u003cp\u003eOpening Position—Protective Call 203\u003c\/p\u003e \u003cp\u003eOpening Position—Protective Call Spread 208\u003c\/p\u003e \u003cp\u003eShort Stock + Protective Call = Long Put 210\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Protective Call 212\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Protective Call Spread 215\u003c\/p\u003e \u003cp\u003eRolling between Protective Calls and Protective Call Spreads 219\u003c\/p\u003e \u003cp\u003eStock Moves Higher 221\u003c\/p\u003e \u003cp\u003ePut Replacement 223\u003c\/p\u003e \u003cp\u003eStock Moves Lower 224\u003c\/p\u003e \u003cp\u003eStock Moves Higher 226\u003c\/p\u003e \u003cp\u003ePut Replacement versus Protective Call 227\u003c\/p\u003e \u003cp\u003eCovered Puts 228\u003c\/p\u003e \u003cp\u003eStock Moves Lower 229\u003c\/p\u003e \u003cp\u003eShort Collars 234\u003c\/p\u003e \u003cp\u003eOpening Position—Regular Collar 235\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Profit Collar 237\u003c\/p\u003e \u003cp\u003ePut Ratio Write 239\u003c\/p\u003e \u003cp\u003eOpening Position 240\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Regular Ratio Write 243\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Variable Strike Ratio Write 248\u003c\/p\u003e \u003cp\u003ePut Ratio Spread 250\u003c\/p\u003e \u003cp\u003eOpening Position 250\u003c\/p\u003e \u003cp\u003eStock Moves Lower 253\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Short Repair Strategy 256\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 5 Calls and Puts 259\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIntroduction 259\u003c\/p\u003e \u003cp\u003eLong Call 260\u003c\/p\u003e \u003cp\u003eProtective Put—Stock Moves Higher 260\u003c\/p\u003e \u003cp\u003eProtective Put—Stock Moves Lower 262\u003c\/p\u003e \u003cp\u003eCall Replacement 264\u003c\/p\u003e \u003cp\u003eRolling into a Bull Call Spread—Stock Moves Higher 267\u003c\/p\u003e \u003cp\u003eRolling into a Bull Call Spread—Stock Moves Lower\/Call Repair Strategy 269\u003c\/p\u003e \u003cp\u003eRolling into a Bear Call Spread 271\u003c\/p\u003e \u003cp\u003eShort Stock 272\u003c\/p\u003e \u003cp\u003eRolling into a Synthetic Straddle 274\u003c\/p\u003e \u003cp\u003eRolling into a Calendar Spread 276\u003c\/p\u003e \u003cp\u003eRolling into a Ratio Spread 278\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Call Repair Strategy 281\u003c\/p\u003e \u003cp\u003eShort Call 285\u003c\/p\u003e \u003cp\u003eLong Put 288\u003c\/p\u003e \u003cp\u003eProtective Call 288\u003c\/p\u003e \u003cp\u003eUnderlying Stock Moves Lower 288\u003c\/p\u003e \u003cp\u003eUnderlying Stock Moves Higher 290\u003c\/p\u003e \u003cp\u003ePut Replacement Therapy 292\u003c\/p\u003e \u003cp\u003eRolling into a Bear Put Spread 294\u003c\/p\u003e \u003cp\u003eUnderlying Stock Moves Lower 294\u003c\/p\u003e \u003cp\u003eUnderlying Stock Moves Higher—Put Repair Strategy 295\u003c\/p\u003e \u003cp\u003eRolling into a Bull Put Spread 297\u003c\/p\u003e \u003cp\u003eLong Stock\/Synthetic Straddle 298\u003c\/p\u003e \u003cp\u003ePut Calendar Spread 302\u003c\/p\u003e \u003cp\u003ePut Ratio Spread 305\u003c\/p\u003e \u003cp\u003eUnderlying Stock Moves Lower 305\u003c\/p\u003e \u003cp\u003eUnderlying Stock Moves Higher—Put Repair Strategy 308\u003c\/p\u003e \u003cp\u003eShort Put 311\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 6 Spreads 317\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIntroduction 317\u003c\/p\u003e \u003cp\u003eBull Call Spreads\/Bear Put Spreads 317\u003c\/p\u003e \u003cp\u003eProtective Puts\/Protective Calls 318\u003c\/p\u003e \u003cp\u003eBull Call Spread—Protective Put 318\u003c\/p\u003e \u003cp\u003eBull Call Spread—Protective Put Spread 320\u003c\/p\u003e \u003cp\u003eBear Put Spread—Protective Call 321\u003c\/p\u003e \u003cp\u003eBear Put Spread—Protective Call Spread 322\u003c\/p\u003e \u003cp\u003eConvert to Ratio Spreads 323\u003c\/p\u003e \u003cp\u003eBull Call Spread—Stock Moves Higher 323\u003c\/p\u003e \u003cp\u003eBull Call Spread—Stock Moves Lower\/Repair Strategy 326\u003c\/p\u003e \u003cp\u003eBear Put Spread—Stock Moves Lower 330\u003c\/p\u003e \u003cp\u003eBear Put Spread—Stock Moves Higher\/Repair Strategy 332\u003c\/p\u003e \u003cp\u003eConvert to Butterflies 336\u003c\/p\u003e \u003cp\u003eBull Call Spread 337\u003c\/p\u003e \u003cp\u003eBear Put Spread 338\u003c\/p\u003e \u003cp\u003eBear Call Spreads\/Bull Put Spreads 340\u003c\/p\u003e \u003cp\u003eCalendar Spreads 340\u003c\/p\u003e \u003cp\u003eCall Calendar Spread 341\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Rolling into a Bull Call Spread 341\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Rolling into a Diagonal Ratio Spread 342\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Rolling into a Lower Strike Bull Call Spread 343\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Convert to a Calendar Strangle 344\u003c\/p\u003e \u003cp\u003ePut Calendar Spread 345\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Rolling into a Bear Put Spread 345\u003c\/p\u003e \u003cp\u003eStock Moves Lower—Rolling into a Diagonal Ratio Spread 345\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Rolling into a Higher Strike Bear Put Spread 347\u003c\/p\u003e \u003cp\u003eStock Moves Higher—Rolling into a Calendar Strangle 348\u003c\/p\u003e \u003cp\u003eButterfly Spreads 348\u003c\/p\u003e \u003cp\u003eLong Butterfly to Long Condor 348\u003c\/p\u003e \u003cp\u003e\u003cb\u003eChapter 7 Combinations 353\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIntroduction 353\u003c\/p\u003e \u003cp\u003eLong Straddle 353\u003c\/p\u003e \u003cp\u003eStraps\/Strips 354\u003c\/p\u003e \u003cp\u003eModified Straps\/Strips 357\u003c\/p\u003e \u003cp\u003eCalendar Straddle 359\u003c\/p\u003e \u003cp\u003eRolling a Long Straddle into an Iron Butterfly 361\u003c\/p\u003e \u003cp\u003eDiagonal Iron Butterfly 363\u003c\/p\u003e \u003cp\u003ePartial Iron Butterfly 363\u003c\/p\u003e \u003cp\u003eLong Call\/Long Put Adjustments 365\u003c\/p\u003e \u003cp\u003eLong Strangle 365\u003c\/p\u003e \u003cp\u003eDiagonal Iron Butterfly 365\u003c\/p\u003e \u003cp\u003eCalendar Strangle 367\u003c\/p\u003e \u003cp\u003eLong Call\/Long Put Adjustments 367\u003c\/p\u003e \u003cp\u003eShort Straddle\/Short Strangle 368\u003c\/p\u003e \u003cp\u003eShort Straddle 368\u003c\/p\u003e \u003cp\u003eRolling Short Straddle into Iron Butterfly 371\u003c\/p\u003e \u003cp\u003eShort Strangle 373\u003c\/p\u003e \u003cp\u003eIndex 375\u003c\/p\u003e","brand":"John Wiley \u0026 Sons Inc","offers":[{"title":"Default Title","offer_id":49402340802903,"sku":"9780470481615","price":51.0,"currency_code":"GBP","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0817\/1739\/5799\/files\/9780470481615.jpg?v=1730480119","url":"https:\/\/bookcurl.com\/products\/the-option-trader-handbook-9780470481615","provider":"Book Curl","version":"1.0","type":"link"}