Section 1: Introduction
SPREADSHEET PROGRAMS AND TEMPLATES
TUTORIAL LESSONS
- Lesson 1: Introducing the OptionPeer Software
Section 2: Basic Call Option Behavior
- Lesson 2: Basic Call Option Behavior
Section 3: What are Options?
- Underlying Security
- Expiration Date
- Strike price
- Contract: Two Parties
- Option: Exercise Rights and Obligations
- CALL: An Option to Buy Underlying Shares
- PUT: An Option to Sell Underlying Shares
- Should You Sell Or Exercise An Option?
Section 4: Strike Price
- Lesson 3: A Call Option At Expiration
- Lesson 4: Strike Price Effects on Call Options
- Lesson 5: A Put Option at Expiration
- Lesson 6: Strike Price Effects On Put Options
Section 5: Properties That Make Option Pricing More Complex
- Lesson 7: Interest Rate Effects on Call Option Prices
- Lesson 8: A Call Option with Volatility Value SIGMA
- Lesson 9: Dividend Effects
- Lesson 10: A Complete Basic Call Option
- Lesson 11: Interest Rate Effects On Put Options
- Lesson 12: A Complete Basic Put Option
Section 6: Estimating Volatility
- Lesson 13: How Volatility Affects Option Prices
- Lesson 14: Estimating Sigma from Market Prices
Section 7: Combining Stock and Options
- Lesson 15: Insuring with a Protective Put
- Lesson 16: Income from a Covered Call
- Lesson 17: Insuring a Short Sale with a Protective Call
Section 8: Strategies Involving Several Options.
- Lesson 18: Straddle
- Lesson 19: Strangle
- Lesson 20: Call (Strike) Spread
- Lesson 21: Butterfly spread
Section 9: Equivalency
- Lesson 22: Cash + Call = Stock + Protective Put
- Lesson 23: Cash + Put = Short-Sale + Protective Call
Section 10: Index & Futures Options
- Cash Settlement & Exercise
- Lesson 24: Trading S&P 500 Index Options
Section 11: Trading Tips
- Setting Up Your Account
- Volatility and Liquidity
- Limit Orders
- Time Horizons
- Settlement Times
- Diversify Your Portfolio --Allocation
- A Trading Example
- Trend Trading Strategies
Section 12: Concluding Remarks
Appendix 1 -- Date/Price Abbreviations
Appendix 2 -- Reading Option Tables
- Wall Street Journal
- New York Times
Appendix 3 -- Additional Readings
Appendix 4 -- Editing OptionPeer's Commission Tables |