Managing By The Greeks (6 Classes)

By Dan Sheridan

Each class will be 90 minutes long.

Class 1

Why manage Option Trades by the Greeks? Using Volatility and VIX to make trading decisions. How to incorporate technical analysis in your trading decisions.

What does it mean to manage option trades by the Greeks? How does this compare to other methods of risk management? Is this method for beginner or experienced option traders? How to use implied volatility, VIX, and standard deviations to make trading decisions? How we use technical analysis with the managing by the Greeks methodology?

Class 2

Building Blocks: How to use the Greeks to manage trades?

Delta: How to know when this number is too big and can hurt you?
Gamma: When to increase or decrease this important Greek is essential for consistent income!
Theta: When is it OK to decrease or increase your theta? Is a negative theta ever OK?
Vega: How to know whether I should be positive or negative vega in a trade? How do you use VIX to help determine your vega position? Best ways to hedge your vega risk? Margin: How this non-Greek is involved in the decision making of managing by the Greeks?

Class 3

How the Greeks affect the various strategies used in managing by the Greeks?

Long Call or Put, Debit Spread, Credit Spreads, Calendar, Butterfly, straddle, Diagonal, Weeklies

Class 4

How to develop a Trading Plan with this methodology?

How to set profit and maximum loss targets? How to set adjustment points? How much capital to use? How much money should be kept in cash? What strategies should you use? How to use contingent orders to set exit points? Should I scale my capital into a trade or put it on all at once?

Class 5

When to adjust and which strategy to use when adjusting?

3-4 methods for determining best time to adjust a trade? How much should you reduce your deltas when adjusting? Which strategy to use at an adjustment point? What is the advantage or disadvantage of one adjustment strategy over another? Dan's end of the day Fire drill to see if Greeks are ok?

Class 6

How and When to best exit the Position?

How to unwind a multi-strike trade? How to protect a profit when you can't get out of a trade? How to minimize commissions when exiting a trade?