This is the eBook version of the printed book. If the print book includes a CD-ROM, this content is not included within the eBook version.Equity and index options expire on the third Friday of each month. As that moment approaches, unusual market forces create option price distortions, rarely understood by most investors. These distortions give rise to outstanding trading opportunities with enormous profit potential. In Trading Options at Expiration, leading options trader Jeff Augen explores this extraordinary opportunity with never-before published statistical models, minute-by-minute pricing analysis, and optimized trading strategies that regularly deliver returns of 40%--300% per trade.   You’ll learn how to structure positions that profit from end-of-contract price distortions with remarkably low risk. These strategies don’t rely on your ability to pick stocks or predict market direction and they only require one or two days of market exposure per month.   If you’re looking for an innovative new way to reignite your returns no matter where the markets move, you’ve found it in Trading Options at Expiration.   Why traditional option pricing calculations always break down in the final days before expirationThree powerful end-of-cycle effects not comprehended by contemporary pricing models Reducing your risk by reducing your market exposureTrading only one or two days each month and avoiding overnight exposure Structuring trades that reflect true expiration-day behaviorLeveraging the surprising power of expiration-day pricing dynamics   Capture Enormous Profits from End-of-Contract Options Trading!  How to profit from option price distortions that occur near expiration New strategies that can return as much as 300% per trade! Direction-neutral techniques that reduce risk and limit market exposure   In the final days and hours before option contracts expire, their behavior veers wildly away from the predictions of standard pricing models. These last-minute price distortions offer immense profit opportunities to those who can recognize and trade them. In this book, Jeff Augen illumintes these opportunities with new statistical models, minute-by-minute pricing analysis, and optimized trading strategies. You’ll learn to exploit expiration pricing forces to structure trades that return from 40%--300% while limiting market exposure to just one or two days each month. Unlike other trading strategies that offer large profits in exchange for increased risk, expiration trading reduces risk by limiting market exposure to just two trading sessions per month.  

Author: Augen, Jeff
Publisher: FT Press
Illustration: N
Language: ENG
Title: Trading Options at Expiration: Strategies and Models for Winning the Endgame
Pages: 00173 (Encrypted PDF)
On Sale: 2009-02-04
SKU-13/ISBN: 9780135058725