Why Short Monthly Options Outperform Short Weekly Options
New research conducted by tastytrade shows the performance data for short monthly options tends to be more attractive as compared to short weekly options—even amidst heightened volatility
Why Short Monthly Options Outperform Short Weekly Options
Why Rho Matters When Interest Rates are Moving
Rho measures the sensitivity of an option’s value to changes in interest rates and is in the spotlight because of the Federal Reserve’s aggressive plan to raise rates.
Trading LEAPS as a Stock Replacement Strategy
Long-Term Equity Anticipation Securities, often referred to by the nickname “LEAPS,” are options with expiration dates greater than one year from the day of trade initiation.
The Long and Short of Weekly Options
Trading in weekly options has exploded in 2021, but investors and traders should consider the respective value propositions of weekly, monthly, and LEAPS options before diving into this niche of the financial markets. Retail trading volumes have exploded this year and the activity hasn’t been limited to stocks and cryptocurrencies—equity options trading volumes have obliterated … Continued
Cage Match: Weekly vs. Monthly Options
The Chicago Board Options Exchange (CBOE) first introduced what we refer to today as a standard call option in 1973. The standard put option was introduced four years later, in 1977. While options are traditionally structured on a monthly basis (expiring on the third friday of each month) innovations in the industry have brought about … Continued