Historical Volatility: An Overview

Volatility: An Overview

Volatility is a key concept in options trading—but what does it really mean? In this video, we break down the basics of market volatility, how it’s measured, and why it matters to investors.

Implied Volatility: An Overview

Implied volatility (IV) plays a crucial role in options pricing—and understanding how it works can give traders a better grasp of market expectations and valuation differences.

Options FAQ: How might investors navigate options disclosures?

Before opening a trading account for options, investors must receive the Characteristics and Risks of Standardized Options document, also known as the Options Disclosure Document (ODD). But what exactly is the ODD, and what resources are available to help investors better understand the risks of options?

Options FAQ: How do interest rates impact options?

Interest rates play a crucial role in options pricing, primarily through the risk-free rate, a key factor in models like Black-Scholes. But how exactly do rising or falling interest rates affect call and put options?

Volatility: IV Metrics

Implied Volatility (IV) gives traders insight into how much the market expects an asset’s price to move—but IV Rank and IV Percentile take it a step further.