Authors: Ed Olmstead, W. Edward Olmstead
ISBN-13: 9780131721289, ISBN-10: 0131721283
Format: Hardcover
Publisher: FT Press
Date Published: March 2006
Edition: 1ST
Dr. W. Edward Olmstead is the editor of The Options Professor, one of the world’s leading newsletters on options trading. He is also an options analyst for Spear Capital Management. He has consulted on short-term trading strategies with a member company of the Chicago Mercantile Exchange.
Dr. Olmstead is Professor of Applied Mathematics in the McCormick School of Engineering and Applied Sciences at Northwestern University. He has taught courses that cover both the theory for options pricing and practical strategies for trading options. Dr. Olmstead has received several awards including an endowed chair for teaching excellence and has been praised by his colleagues as “the quintessential teacher in our midst.”
Brief, carefully paced lessons on options and trading strategies using verbal definitions and many trading examples for clarification. Each lesson builds on the one preceding it and explains options in plain English, from start to finish. Step-by-step coverage of controlling risk, protecting your investments even advanced strategies other introductory books ignore! Authored by Dr. W. Edward Olmstead, contributing editor to The Spear Report and editor of The Options Professor newsletter.
Sect. I | Basic concepts | 1 |
1 | Introduction | 3 |
2 | Option selection | 17 |
3 | Entering and exiting option trades | 27 |
4 | The Greeks | 33 |
5 | Risk graphs | 41 |
6 | Leaps | 47 |
7 | Assignment anxiety | 53 |
8 | Broker selection | 59 |
9 | Miscellaneous tips | 63 |
Sect. II | Trading strategies | 69 |
10 | Vertical spreads | 71 |
11 | Event-producing credit spreads | 79 |
12 | Calendar spreads | 87 |
13 | Advanced calendar spreads | 95 |
14 | Covered calls | 107 |
15 | Straddles and strangles | 115 |
16 | Stock repair and stock enhancement | 123 |
17 | Married puts | 131 |
18 | Collars | 137 |
19 | Advanced collars | 145 |
20 | Naked option writing | 153 |
21 | Stock substitutes | 161 |
22 | Backspreads | 169 |
23 | Butterfly spreads | 177 |
24 | Iron condors and double diagonals | 185 |
25 | An end-of-year tax strategy | 191 |
Sect. III | Special topics | 199 |
26 | Day trading an index with options | 201 |
27 | Delta-neutral trading | 205 |
28 | Theory of maximum pain | 211 |
29 | Implied volatility and the Black-Scholes formula | 215 |
30 | The put-call parity relationship | 221 |