Learn to trade options and learn options strategies: Explanation of the Greeks including Delta, Gamma, Theta, and Vega ...

Terms like delta, theta, gamma, and vega are tossed about to thoroughly confuse the newcomers. It is to these greenhorns that today's comments on the option greeks are directed.

Option Greeks, such as delta, gamma, and theta, are used to describe changes in option premiums resulting from the interplay of various factors.

In options trading, theta measures the time decay of an option, or how quickly its value changes as it approaches maturity. Theta is negative if you buy an option, and positive if you sell one.

Compared to a stock or bond, options are contracts with a shelf-life and are exposed to a range of unique risks – greeks (i.e. delta, gamma, theta, vega, rho) - each of which measures the ...

Delta, gamma, theta, vega and rho are among the Greek terms options traders use to describe the sensitivity of an option’s price to various factors. Here is what they mean.

(Vega is not a true Greek symbol-Look it up!) The five core Greek symbols which are critical in order to understand are as follows, in no particular order: Delta, Theta, Vega, Gamma, & Rho.

This article will seek to share more about the impact of a particular option's Delta, Gamma, Theta, and Vega.