Inputs Used by Option-Aid
Inputs that are used to make calculations within
various parts of Option-Aid are shown below with brief explanations for your convenience.
- Val. Date - The valuation date is the date for which you are determining the fair value for the option. Normally this is the current date. However, you can input a previous date to review the analysis of a previous
position.
- Exp. Date - The expiration date is the date at which the option expires.
- Int. Rate - The interest rate used for Fair Value pricing of an option is the risk-free rate. The 3-month T-Bill is frequently used or a rate for a time deposit that is maturing close to the expiration date of the option.
- Asset Price - This is the price of the underlying asset on the valuation date.
- Strike Price - This is the price at which the option can be exercised. A call gives the holder the right, but not the obligation, to buy the asset at the strike price. A put gives the holder the right, but not the obligation,
to sell the asset at the strike price.
- Volatility - The volatility of an asset provides a measure of the random variability or dispersion of price data per unit of time, usually quoted as annual standard deviation of an asset's price. You can calculate
historical or implied volatility in the volatility portion of the program.
- Call or put - the type of option is input by selecting one of the option buttons, call or put.
- Option Price - The price of the option (a small fraction of the underlying asset price).
- Lower Target - When you input a value for the lower target on the expectations screen, Option-Aid will calculate the probability of reaching or missing that target price.
- Upper Target - When you input a value for the upper target on the expectations screen, Option-Aid will calculate the probability of reaching or missing that target price.
- Option Price Goal - When you input a value for the option price goal on the expectations screen, Option-Aid will calculate the percentage change in the asset price required to make the option price goal today.
Buy Option-Aid Today and Maximize Your Profits!
As you start using this valuable option software program and become familiar with the vast amount of information it puts at your fingertips, it quickly becomes an indispensable tool for evaluating option positions.
Information is the Key to Increasing Your Wealth
Option-Aid is a great trading tool for playing out "what-if" scenarios to maximize your profits and minimize your losses. It has many features to give you the Trader's Advantage.
Buy it today! Profits from your first position can more than pay for the program. Your order will be placed through a secure server.
It will change your future! Satisfaction guaranteed. Order it now!
Related financial Sites:
Valuation of Company Options
Option Posting Service for Companies
Valuation of Employee Options
Forex Trading Resources
|