Option Trading Kung Fu
Option Trading Kung Fu is a practical, nuts and bolts guide that explains and teaches, through examples and in-depth descriptions, option trading as it is experienced in real life. Topics covered in the book include understanding liquidity, determining risk and reward, estimating price targets using options, closed and open structures, and setting profit and loss targets. Option Trading Kung Fu also discusses P&L plans, using Delta to gauge probability, time stops, gap moves, and the importance of discipline.
Option Trading Kung Fu seeks to impart on readers the knowledge usually only gained after years of active option trading in the trenches.
Topics also include identifying set-ups, selecting and pricing structures, planning trades from both a risk and profit management perspective, and trading into positions without getting ripped off.
The book also discusses managing open positions, evaluating potential tactical and strategic adjustments, exiting positions and properly managing expiration issues such as assignments and exercises.
Also included in the book: