Vega Around Walmart Earnings – What’s the Play? | #OptionsHandbook EP028

In options trading, Vega shows you how option prices react to volatility, not just price moves. Around different scenarios, it becomes your guide. Let’s see how The Options Handbook explains Vega📖

▶ What Vega means

Vega measures how your options react to changes in implied volatility, the market's pricing of uncertainty, not just price direction.

Example: If a $Wal-Mart(WMT)$ option has Vega of 0.064, then a 1% change in IV moves the option price by about 0.064.

▶ Before earnings / big events

Buy high-Vega options. Even if the stock price stays flat, rising IV can lift option prices.

▶ After earnings

Sell high-Vega options. Once the event passes, IV usually falls and the option value drops.

▶ Calm markets

Stick to low-Vega options. This way, volatility swings don’t distract you, and you focus on direction or time decay instead.

📘 All these ideas come from The Options Handbook—a clear, step-by-step book for both beginners and advanced traders. Now available in the Tiger Coin Center! 🐯🛒

>> Redeem Options Handbook Now <<

>> Click here for the Simplified Chinese version <<

Modified in.08-21

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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marketpre
08-21
marketpre
Great insights

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Around different scenarios, it becomes your guide. Let’s see how <strong><a href=\"https://ttm.financial/J/redeemGift?goodID=595&amp;type=delivery\" target=\"_blank\">The Options Handbook</a></strong> explains <strong>Vega</strong>📖</p>\n<p>▶ <strong>What Vega means</strong></p>\n<p>Vega measures how your options react to changes in implied volatility, the market's pricing of uncertainty, not just price direction.</p>\n<p>Example: If a <a href=\"https://ttm.financial/S/WMT\">$Wal-Mart(WMT)$</a> option has Vega of 0.064, then a 1% change in IV moves the option price by about 0.064.</p>\n<p></p>\n<p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/f88769090b52fd4d694fd2028fc700b2\" tg-width=\"1052\" tg-height=\"971\"></p>\n<p>▶ <strong>Before earnings / big events</strong></p>\n<p>Buy high-Vega options. Even if the stock price stays flat, rising IV can lift option prices.</p>\n<p>▶ <strong>After earnings</strong></p>\n<p>Sell high-Vega options. Once the event passes, IV usually falls and the option value drops.</p>\n<p>▶ <strong>Calm markets</strong></p>\n<p>Stick to low-Vega options. This way, volatility swings don’t distract you, and you focus on direction or time decay instead.</p>\n<p></p>\n<p>📘<strong> All these ideas come from <a href=\"https://ttm.financial/J/redeemGift?goodID=595&amp;type=delivery\" target=\"_blank\">The Options Handbook</a>—a clear, step-by-step book for both beginners and advanced traders. Now available in the Tiger Coin Center!</strong> 🐯🛒</p>\n<p><strong><a href=\"https://ttm.financial/J/redeemGift?goodID=595&amp;type=delivery\" target=\"_blank\">&gt;&gt; Redeem Options Handbook Now &lt;&lt;</a></strong></p>\n<p><strong><a href=\"https://ttm.financial/J/redeemGift?goodID=599&amp;type=delivery\" target=\"_blank\">&gt;&gt; Click here for the Simplified Chinese version &lt;&lt;</a></strong></p>\n<p></p>\n<p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/48fad52aca507f29e75ac73fa5cae192\" tg-width=\"1402\" tg-height=\"935\"></p>\n<p></p></body></html>","htmlText":"<html><head></head><body><p>In options trading, <strong>Vega</strong> shows you how option prices react to volatility, not just price moves. Around different scenarios, it becomes your guide. Let’s see how <strong><a href=\"https://ttm.financial/J/redeemGift?goodID=595&amp;type=delivery\" target=\"_blank\">The Options Handbook</a></strong> explains <strong>Vega</strong>📖</p>\n<p>▶ <strong>What Vega means</strong></p>\n<p>Vega measures how your options react to changes in implied volatility, the market's pricing of uncertainty, not just price direction.</p>\n<p>Example: If a <a href=\"https://ttm.financial/S/WMT\">$Wal-Mart(WMT)$</a> option has Vega of 0.064, then a 1% change in IV moves the option price by about 0.064.</p>\n<p></p>\n<p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/f88769090b52fd4d694fd2028fc700b2\" tg-width=\"1052\" tg-height=\"971\"></p>\n<p>▶ <strong>Before earnings / big events</strong></p>\n<p>Buy high-Vega options. Even if the stock price stays flat, rising IV can lift option prices.</p>\n<p>▶ <strong>After earnings</strong></p>\n<p>Sell high-Vega options. Once the event passes, IV usually falls and the option value drops.</p>\n<p>▶ <strong>Calm markets</strong></p>\n<p>Stick to low-Vega options. This way, volatility swings don’t distract you, and you focus on direction or time decay instead.</p>\n<p></p>\n<p>📘<strong> All these ideas come from <a href=\"https://ttm.financial/J/redeemGift?goodID=595&amp;type=delivery\" target=\"_blank\">The Options Handbook</a>—a clear, step-by-step book for both beginners and advanced traders. Now available in the Tiger Coin Center!</strong> 🐯🛒</p>\n<p><strong><a href=\"https://ttm.financial/J/redeemGift?goodID=595&amp;type=delivery\" target=\"_blank\">&gt;&gt; Redeem Options Handbook Now &lt;&lt;</a></strong></p>\n<p><strong><a href=\"https://ttm.financial/J/redeemGift?goodID=599&amp;type=delivery\" target=\"_blank\">&gt;&gt; Click here for the Simplified Chinese version &lt;&lt;</a></strong></p>\n<p></p>\n<p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/48fad52aca507f29e75ac73fa5cae192\" tg-width=\"1402\" tg-height=\"935\"></p>\n<p></p></body></html>","text":"In options trading, Vega shows you how option prices react to volatility, not just price moves. Around different scenarios, it becomes your guide. Let’s see how The Options Handbook explains Vega📖 ▶ What Vega means Vega measures how your options react to changes in implied volatility, the market's pricing of uncertainty, not just price direction. 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