Real-World Applications

See how overnight moves can change everything about the options you hold. OIC instructor Mat Cashman uses a $7 gap and a doubling in implied volatility to show why the same contract can carry a different expectation the next day. 

0:00 Stock Up $7: Contextualizing the Move
0:42 5.6 Standard Deviations Overnight
1:13 More Context Than Just Price or %
1:48 Long Options: Probably Made Money
2:13 Short Options: Probably Lost Money
4:32 Same Option, Completely Different Expectations

Register to view the complete Rule of 16 – Deriving Daily Meaning from an Annual Volatility Metric webinar:
https://bit.ly/4vhlXg9
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