Volatility skew provides a quantifiable way to determine market risk. Learn more about volatility skew and the skew index here!
At tastytrade, you’ll often hear us discuss “scalping” or “scalps”. Scalps are trades intended to be closed within hours or minutes. They are not trades we intend to hold overnight. Read more here about scalping in a more volatile market.
Strike selection is a key component in structuring an options trade. This episode of Best Practices reviews some important considerations traders should keep in mind when building high-probability short premium trades.