Option Delta Explained (The Basics, Probabilities & More)

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  • čas přidán 11. 09. 2024

Komentáře • 186

  • @projectfinance
    @projectfinance  Před rokem

    ✅ New to options trading? Master the essential options trading concepts with the FREE Options Trading for Beginners PDF and email course: geni.us/options-trading-pdf

  • @dushyantkhinchi9304
    @dushyantkhinchi9304 Před 4 lety +118

    Such an underrated channel. You did a good job, Sir.

  • @xanderseyes
    @xanderseyes Před 3 lety +19

    - your content is so upscale. I have learnt so much and the way how you explain everything makes it a lot easier to grasp. Also I must say, I really appreciate the video quality and video editing. It is so neat and clean! Thank you for all the information you share.

  • @MrCurtis61
    @MrCurtis61 Před 3 lety +14

    That was the easiest most clear and consise explanation of delta I ever heard! You are a great teacher my friend!

  • @HefTrade
    @HefTrade Před 4 lety +18

    the colloquial clarification at the end was helpful, Chris. I would be that guy saying, "i'm selling the negative point zero seven five delta put option". Thanks for another great lesson!

    • @HefTrade
      @HefTrade Před 4 lety +1

      Hey chris, do you have any video tutorials on ThinkOrSwim? I just downloaded it to practice trading spreads.

  • @goodideaatthetime
    @goodideaatthetime Před 3 lety +12

    Dude! Absolutely amazing explanations. I think you are the best teacher on the Tube! You make this super complicated subject so easy to understand. I can't thank you enough. I have learned more from you in the past couple of weeks than all my years in school. KEEP UP THE GOOD WORK!

  • @justinkaten5316
    @justinkaten5316 Před 4 lety +19

    Love your teaching style, best out there I've seen for me at least..

  • @AnjaliPathak5
    @AnjaliPathak5 Před 21 dnem

    This is the best video on Options Delta. An otherwise complex topic explained so well! Many thanks, Chris.

  • @brianh7828
    @brianh7828 Před 4 lety +9

    I have watched so many options videos online and to me, your videos are the best. You explain complex concepts in an easy to understand way. Big fan, keep them coming please!!

  • @dontswin
    @dontswin Před 3 lety +4

    You are a great teacher! Wish I found you years ago. You cover a lot of material so I have to rewind a few times but everything is coming together. I have been trading options for a little bit, past few months. This is 20 mins well spent, Thank You so much Sir!

  • @mabitsilegodi3102
    @mabitsilegodi3102 Před 4 lety +8

    Your videos are so easy to follow and well presented. Thank you

  • @nasseem2747
    @nasseem2747 Před 3 lety +1

    I will never understand why people go thousands in debt when there is free, valuable, and extremely helpful information such as your videos posted on the internet. Thanks so much for sharing your knowledge.

  • @WaveWatchTrading007
    @WaveWatchTrading007 Před 3 lety +2

    This is THE BEST explanation of delta I've ever seen!!!

  • @snoopdogAZ
    @snoopdogAZ Před 3 lety +1

    Your videos are the best. One thing I don't understand and I kept waiting to hear is, Why do traders say they want to be "Delta neutral"

  • @PurpsFilms
    @PurpsFilms Před 2 lety +1

    Dude I cannot thank you enough for your educational videos on options. I started studying options the last week or so and this channel has single handedly helped me so much understanding all the different concepts, how the math works, and is easy to follow. Thanks for you hard work to spread info to others

  • @David_BCFC-ENGLAND
    @David_BCFC-ENGLAND Před 6 měsíci

    Excellent explanation, already watched both of your options trading for beginners, the Bull Call Spread video and working my way through the Greeks then onto IV explained. Amazing that you take time out to offer these tutorials for zero fee, well done, you are helping so many novice traders understand a quite complex subject that would usually be a big headache to understand

  • @craigsdaytrips5512
    @craigsdaytrips5512 Před 4 lety +4

    Thank you Chris for explaining in very simple terms. It has really helped me with my options trading knowledge

  • @informationeagle
    @informationeagle Před 2 lety

    One of the best and clearest basic explanations of Delta that I've seen anywhere.

  • @preferredcustomer8273
    @preferredcustomer8273 Před 4 lety +8

    Thank you for the last couple minutes. Really cleared that up for me.

  • @loreall.2461
    @loreall.2461 Před 3 lety

    I bought an Options Trading for Dummies book and I learned more from your videos for free. Thank you so much, Chris!

  • @samuimuscle
    @samuimuscle Před 3 lety

    Great job! I am not sure if would reading a book how long it going to take me thoroughly vs 14:20 minutes from this VDO. Keep up good work! This is the speed that I like the most from your VDOs.

  • @Smurfin247
    @Smurfin247 Před 3 lety +1

    Enjoy your videos…have learned so much…great delivery and precise explanation…thank you

  • @ehleesbabay
    @ehleesbabay Před 4 lety +3

    Super helpful, especially the examples. Thank you!

  • @helowolf05
    @helowolf05 Před 3 lety

    Your options videos are the BEST. Second to none. So good that I've gotten into habit of smashing the 'like' button right when one starts, just in case I were to forget. Like for right now, for example ;) Listening to you has made me tens of thousands of dollars the last few months. Totally up'd my game. Thank YOU!

  • @mthobisimhlungu6252
    @mthobisimhlungu6252 Před 3 lety

    Thank you for the clear explanation. I'm definitely subscribed and bingeing on the content. This is the first explanation of Greeks that I fully understood to the point where I could trade a demo to test some options strategies. THANK YOU

  • @rooooony
    @rooooony Před 3 lety +1

    Hey great explanation. One thing I don’t understand, if the stock price goes up a dollar, would the value of my options contract increase by one hundred dollars? Why would it only goes up by the delta? Thanks for the clarification and keep up the great work!

  • @prabhakarpotu6617
    @prabhakarpotu6617 Před 3 lety

    Excellent presentation and very clear explanation. Excellent teacher

  • @dianapelaez77
    @dianapelaez77 Před 2 lety +1

    I learn so much from your videos, thank you for explaining options!!!!

  • @Reza.thehealthcoach
    @Reza.thehealthcoach Před 3 lety

    this guys is just amazing !! a gem really -everyone these days want to sell courses and do not give any useful information !!

  • @danielsurisetty
    @danielsurisetty Před 3 lety

    Thanks for your clear explanation which will never go off from mind anymore!

  • @davidpearce4838
    @davidpearce4838 Před 2 lety +1

    This has been excellent for my learning. Thanks Chris.

  • @brunodrumsnyc
    @brunodrumsnyc Před 3 lety +1

    amazing job, man. thank you for putting all this knowledge out there.

  • @marianomedina07
    @marianomedina07 Před 3 lety

    totally underated channel, you really explained how it works. Thank you!

  • @Joygre1
    @Joygre1 Před 3 lety

    All my questions have been answered. I was struggling with Greeks. New at trading and I am so excited to learn these terms. Thank you!

  • @adage3256
    @adage3256 Před 3 lety

    I have learnt a lot from your video series and graduated from being an option buyer to option seller most of the time. I feel lot more confident with my trades, based on the core concepts you are teaching. Thanks much, have a good 4th weekend.

  • @riteshagarwal2127
    @riteshagarwal2127 Před 3 lety

    your teaching is beyond amazing.. someday i am gonna pay you real good amount as the education fees for immense knowledge shared by you

  • @schries
    @schries Před 4 lety

    Thanks Chris for very clear explanation! You have a great way of teaching bro!

  • @saintburnsy2468
    @saintburnsy2468 Před 3 lety

    Thanks for yet another great video! Seriously man, I've been learning almost everything that I know about options from you... and I really appreciate it! Keep up the good work m8 👍🏻

  • @lilwa2
    @lilwa2 Před 2 lety +1

    This video is golden ! Thanks a lot Sir !

  • @bigspank2085
    @bigspank2085 Před 3 lety

    I'm going to be honest you just simplified delta to the point. My 5 year old niece could understand it. Keep up the great work and thank you very much I really appreciated this video.💪🏿🤜🏿 Now let's see if I apply those percentages. I also have take into account the strike price. Whether its above or below and by how much . Wow you just made me feel like I found out about the market 😆😆😆

    • @bigspank2085
      @bigspank2085 Před 3 lety

      I also subscribed I had to man this was a D*** good video now onto the other 2 minus theta😅

  • @victormiranda9748
    @victormiranda9748 Před 3 lety

    You're a great teacher

  • @olutoyin7602
    @olutoyin7602 Před 4 lety +2

    You do a great job of explaining in details. I enjoy the slides, very intuitive.

  • @sivucit
    @sivucit Před 4 lety +2

    Hi,
    I assume Delta have a play on extrinsic value but not on intrinsic value. Pls advise.

  • @elynzhou7694
    @elynzhou7694 Před 3 lety

    You are great and knowledgeable. i learnt a lot from your channel. Thank you!

  • @Tramadoon
    @Tramadoon Před 3 lety +1

    Great video buddy. My only comment would be if you could remove background music from you videos. I know the volume is low, but still... they can be distracting as one tries to concentrate. Thanks again!

  • @yahyajwad
    @yahyajwad Před 2 lety

    Wow . Amazing video and very easy to understand. Thanks bro 👍

  • @AM-yd5dt
    @AM-yd5dt Před 3 lety

    Thank you Chris for sharing your knowledge with us in easy-to-understand manner.... You have a wealth of knowledge presented in humble terms :-)

  • @velissalewis5321
    @velissalewis5321 Před 2 měsíci +1

    Thanks!

  • @JK-vb9ps
    @JK-vb9ps Před 3 lety

    clear and concise explanation. well done chris

  • @charlierobles316
    @charlierobles316 Před 4 lety +1

    Easy to understand but gotta watch over

  • @supa007germany
    @supa007germany Před 3 lety

    Thanks a lot for your videos, good educative videos. I have learned a lot through your channel .

  • @GuanMin
    @GuanMin Před 2 lety

    bless this channel, explanations are great for understanding !

  • @prajay83
    @prajay83 Před 3 lety

    Wonderful explanation..understood delta clearly

  • @stanleysylvain4793
    @stanleysylvain4793 Před 3 lety +1

    Why is understanding delta important? I know it is, but I’m trying to understand why I have to either buy or not buy an option. When I look at the delta numbers, what about them that can help my decisions. Thanks.

  • @enricosaccheggiani3192
    @enricosaccheggiani3192 Před 2 lety +1

    well explained . good job thanks a lot

  • @chairman6652
    @chairman6652 Před 3 lety

    Thanks Chris . I've always struggled with Delta and Extrinsic Value in regards to selling Premium ✌️

  • @jerrynix5206
    @jerrynix5206 Před 4 lety +1

    Happy New Year Chris!

  • @danbelchar9373
    @danbelchar9373 Před 2 lety

    Great explanation, i watched twice

  • @creditpro1280
    @creditpro1280 Před 3 lety

    Thanks! I really learn so much from your vids.

  • @brendanquinn6894
    @brendanquinn6894 Před 2 lety +1

    Thanks Chris.

  • @rohitindurkar
    @rohitindurkar Před 4 lety +2

    Awesome, u r doing great job. Thanks a lot 🙏

  • @hws2152
    @hws2152 Před 2 lety

    Excellent video for learner, Sir I face some challenge while try to calculate positive skew and negative skew and their relationship with expiry. could you assist me to overcome these challenge through your guidence

  • @carlosnoname1427
    @carlosnoname1427 Před 3 lety

    Amazing explanation !!!! thank you !

  • @shikhashersinghyadav475

    Amazing video. I am learning a lot from these videos. Thank you so much.

  • @supersaiyanmuslim7569
    @supersaiyanmuslim7569 Před 2 lety

    Thanks again Chris! Love your videos man!

  • @PalwankarRavi
    @PalwankarRavi Před 2 lety +1

    Excellent. Thx a lot.

  • @savlikanekar
    @savlikanekar Před 2 lety

    Nicely explained. Thanks

  • @flyboylipad75
    @flyboylipad75 Před 4 lety

    Great job Chris! Learning heaps on options. Thanks

  • @razdingz
    @razdingz Před 3 lety

    Awesome teacher !

  • @MegaRisenshine
    @MegaRisenshine Před 3 lety

    Ty sir understand now at least on delta

  • @khalidjaii2
    @khalidjaii2 Před rokem

    Do you have a video explaining an example such as 14 Delta strangle?.
    Thanks

  • @yc1228
    @yc1228 Před 3 lety

    Great job explaining. Thank you for your videos.

  • @mtsguides
    @mtsguides Před 4 lety

    Hey Chris, can you make a video on Ratio spreads and management strategies related to ratio spreads ?

  • @wiseman4160
    @wiseman4160 Před 4 lety

    I heard the lowest delta you should do for a calls out of the money is 25 and 30 to 40 is a really good Delta. If i understand video correctly 25 means 0.25. But i never heard what is a good Delta is for puts out of the money. Because the idea with out of the money is to make lots of money when right. But beginners i hear buy very low Delta because it's so cheap so the delta has to work even harder to reach your strike price. Your thoughts on these comment?

  • @Reeseybaby
    @Reeseybaby Před rokem

    Thanks Chris. But I was hoping you would've explained the options that have a delta after thr first number. Like delta 0.032 on a call option. I'm assuming it's the same way but by how much more cents. Lol

  • @itz_abi1261
    @itz_abi1261 Před 4 lety

    I enjoy watching your videos , learned a lot. I have a a question on a loosinh share. Say I own 200 shares and my avg price is 34 , now the stock is trading at 28 dollars , I dont want to sell because I positive this share will go up. My question is can I do covered call against my 200 shares ??

  • @troyflowers8605
    @troyflowers8605 Před 3 lety

    Great video! I understand delta a bit better

  • @riskedcapital
    @riskedcapital Před 2 lety

    Great vid Chris!

  • @jamilakalilj
    @jamilakalilj Před 3 lety

    This is awesome man. Thank you!

  • @SusieO
    @SusieO Před 3 lety

    Excellent video. Thanks very much.

  • @nathaniel2153
    @nathaniel2153 Před 3 lety

    I have a question, Does that means the best options to buy/sell is near the strike price?

  • @jovisilaphanh3138
    @jovisilaphanh3138 Před 3 lety +1

    Does delta change as price goes up?

  • @DariushMaleki
    @DariushMaleki Před 4 lety

    Thank you. Great video for Option Delta explanation.

  • @michaelmain8957
    @michaelmain8957 Před 3 lety

    Deff the best on you tube almost everyone trying to teach or explain any of this are mostly educated idiots with realy no clue but there realy good at plagiarizing thanks cris keep it up

  • @tushkyd6348
    @tushkyd6348 Před rokem

    Hey there i just wanted to know do you guys teach from basic of stock mrkt to delta options greek course for US and Canadian mrkt if yes pls update

  • @tf3908
    @tf3908 Před 4 lety +1

    OMG! I GET IT! THANK YOU THANK YOU!

  • @AutoFOCUSED.
    @AutoFOCUSED. Před 3 lety

    Do they credit you only on the dollar or, for example, would you get $0.375 for $0.50 increase on the share?

  • @chris-pw6jt
    @chris-pw6jt Před 4 lety +2

    Hi, i recently got set up with an Ally account. i know you push Tastyworks, id like to hear your thoughts on Ally vs tastyworks.
    great stuff here, man!

    • @projectfinance
      @projectfinance  Před 4 lety +2

      Hey Chris!
      I don't know much about Ally but I just looked at their pricing and they don't charge any ticket fees for options trades and they also charge $0.50/contract, which is very good. I'd say the biggest downside with Ally is probably their trading platform. tastyworks/thinkorswim/InteractiveBrokers are probably the best platforms for options trading.

    • @chris-pw6jt
      @chris-pw6jt Před 4 lety +1

      @@projectfinance i just did my first trade with them today (earned $300 on my first trade, 15% ROI!!), and you're right, their platform is a pain. TW looks pretty simple by comparison, I'll have to switch over once i can convince myself to lose 3 days of trading while my money is in transit.

    • @michaelpeck5547
      @michaelpeck5547 Před 4 lety +2

      @@chris-pw6jt I cancelled my Ally acct. My issues with them was that money transfers are slow and their platform has performance issues during high volume trade days. If you like options, TW is fantastic. I killed my Ally acct but I still have Robinhood, TastyWorks, and ThinkorSwim (TD Ameritrade). TD kills them all, especially in charting but TW is the best for options IMO.

  • @cppoly
    @cppoly Před 3 lety

    Chris, can you help with this. If a call is ITM, how come delta isn't 1? For instance, with a 100 strike call, and the stock price at 105, we know the call has at least $5 of intrinsic value. So if the stock moves $1 higher to 106, then wouldn't the new call price be worth at least $6 representing the intrinsic value and therefore delta 1 since the value moved $1 higher?

  • @livefire5623
    @livefire5623 Před 3 lety

    For a call with a $1 price increase, is the increase based upon the call+contract cost? For instance, a call with with a $133 strike price and a contract cost of 0.23 would be a Break Even Price at 133.23. Assuming a delta of 0.30, in order to make the delta per every $1 dollar of change you mentioned, does the price of the stock need to reach $134 or would it need to reach $134.23?

  • @alexaxana7597
    @alexaxana7597 Před 4 lety

    Great explanation! Thank you

  • @Smallqueendom
    @Smallqueendom Před 3 lety

    I had a 💡 moment. Thank you Chris!

  • @gregoryphillips4459
    @gregoryphillips4459 Před 3 lety

    Thank you. Good information.

  • @rishipatel7998
    @rishipatel7998 Před 3 lety

    SIR YOU ARE AMAZING

  • @paridhirastogi6708
    @paridhirastogi6708 Před 2 lety

    Great work, thanks.

  • @Sarasdad91
    @Sarasdad91 Před 3 lety

    Another great video, Chris, thank you...

  • @dantecapozzola1353
    @dantecapozzola1353 Před 3 lety

    Really helpful.

  • @sergheistiroi9333
    @sergheistiroi9333 Před 3 lety

    Thanks for explanation

  • @banksj54
    @banksj54 Před 3 lety

    I was told the deltas are to be used like percentages. So on a put if it’s -.09 it’s a 9% chance it will hit that strike price?

  • @KatieLou_johnson
    @KatieLou_johnson Před 3 lety

    Really appreciate this video!