【Option Price Calculator】Description
1.What is Option Price Calculator
Option Price Calculator is a feature that adopts the famous Black-Scholes Model as the underlying instrument, which calculates the expected option price based on the user's input, such as stock price, implied volatility and days-to-expiration.
2.Where to find
Stock Details Page -> Option Tab -> Option Detail Page
3.Learn how to play with it
As the name implies, this feature is used to predict the future price of an option.
Scenario 1:
Suppose the stock price of the underlying is expected to rise to $186.53 in 5 days, how much profit will be gained if you buy a call option now?
Scenario 2:
Suppose you bought a call option but the stock price is moving downwards, how much loss might be accrued in 5 days?
Scenario 3:
Company XYZ is announcing earnings the next day, we assume that there will be a volatility crush after the earning's release, how much profit is theoretically possible if I sell a call option today?
Scenario 4:
Company XYZ's stock price is soaring during pre-market hours and you want to liquidate your holding options to collect profit. With Option Price Calculator, you should be able to set a precise limit order and sell your option once the markets open.
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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