Summary:
The book provides a comprehensive look at option trading, covering topics such as volatility and its impact on pricing, various option trading strategies, and risk management techniques. It also delves into the use of mathematical models for option valuation and how to apply these models in different market conditions.
Key points:
1. Option Pricing Models: Natenberg explains the Black-Scholes-Merton and binomial models used to calculate option prices, considering factors like asset price, strike price, expiration time, risk-free interest rate, and volatility.
Books similar to "Option Volatility and Pricing":
Understanding Options 2E
Michael Sincere
The Options Playbook
Brian Overby
Trading Options at Expiration
Jeff Augen
Covered Calls for Beginners
Freeman Publications
Fischer Black and the Revolutionary Idea of Finance
Perry Mehrling|Aaron Brown
Against the Gods
Peter L. Bernstein
Lecturing Birds on Flying
Pablo Triana
The Invisible Hands
Steven Drobny
The Four Pillars of Investing
William J. Bernstein
Algorithms to Live By
Brian Christian, Griffiths