Gamma; How it Can Affect Your Options Positions

Gamma; How it Can Affect Your Options Positions

Gamma, one of the options “Greeks”, is often referred to as the Delta of the Delta. Gamma is the rate of change in the delta of an option per a one-point move in the underlying instrument. It is important for traders to understand the effect Gamma can have...
Momentum, Rate of Change, and Divergence … What They Mean to Traders

Momentum, Rate of Change, and Divergence … What They Mean to Traders

Because trends are composed of a series of price swings, momentum can play a key role in determining the strength of the trend. It is important to know when a trend may be slowing down, as it may be indicative of a reversal. How can a trader assess the strength of a...