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Greek Gods in Option Trading !!

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What are Greek Options? Similarly, the Option Greeks are the ingredients of the recipe which eventually helps in pricing the options. Option Greeks are various factors which help option trader in trading options. With the help of these Greeks, one is able to price the options premium, understand volatility, manage risk, etc. These Greeks also have a major impact on each other. There are majorly four different types of option Greeks – Delta , Gamma , Theta , Vega , and Rho . We will be discussing all of them in this post. Without having knowledge of Greeks I would call trading is Gambling! It’s a beautiful concept to hedge your portfolio and reduce the risk of downside. As per my experience, I would never suggest to trade Naked options. The Greeks are utilized in the analysis of an options portfolio and in the sensitivity analysis of an option or portfolio of options. The measures are considered essential by many investors for making informed decisions