Cash Flow Options

Cash Flow Options

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Cash Flow Options
Cash Flow Options
Understanding Expected Value in Options Trading
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Understanding Expected Value in Options Trading

Ney Torres H's avatar
Ney Torres H
Nov 20, 2023
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Cash Flow Options
Cash Flow Options
Understanding Expected Value in Options Trading
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Introduction

Calculating the Expected Value (EV) is a fundamental aspect of options trading, guiding traders in making more informed decisions. This post explores three distinct methods for calculating EV in options trading: Simple EV, Simple-Partial EV, and Real EV, highlighting their effectiveness and accuracy in predicting trade outcomes.

The Three Met…

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