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The Forex Options Course is a practical, hands-on guide to understanding and trading forex options. Designed to build a trader's knowledge base in a step-by-step manner, this reliable resource moves from the straightforward to the more sophisticated with discussions of everything from basic plain vanilla calls and puts to intriguing first-generation exotic binary options.
Organized as a self-paced guide, The Forex Options Course:
* Lays out the key elements of forex options-from how option premiums are impacted by volatility to the basic elements of "the Greeks"
* Highlights different forex option strategies and tactics
* Breaks down essential forex market drivers
* Reviews important chart patterns that identify conditions for entering a trade and display market sentiment
Learning about trading must be interactive, so throughout the book, you'll also find "assignments" that test your skills. They're designed to help you assess how well you understand the material, and guide you in finding and using valuable information for scanning currency conditions.
Filled with in-depth insights and practical advice, The Forex Options Course will help you develop the skills and strategies needed to succeed in today's dynamic forex market.
The Forex Options Course is a practical, hands-on guide to understanding and trading forex options. Designed to build a trader's knowledge base in a step-by-step manner, this reliable resource moves from the straightforward to the more sophisticated with discussions of everything from basic plain vanilla calls and puts to intriguing first-generation exotic binary options.
Organized as a self-paced guide, The Forex Options Course:
* Lays out the key elements of forex options-from how option premiums are impacted by volatility to the basic elements of "the Greeks"
* Highlights different forex option strategies and tactics
* Breaks down essential forex market drivers
* Reviews important chart patterns that identify conditions for entering a trade and display market sentiment
Learning about trading must be interactive, so throughout the book, you'll also find "assignments" that test your skills. They're designed to help you assess how well you understand the material, and guide you in finding and using valuable information for scanning currency conditions.
Filled with in-depth insights and practical advice, The Forex Options Course will help you develop the skills and strategies needed to succeed in today's dynamic forex market.
ABE COFNAS has been the forex trading columnist for Futures magazine since 2001. He also formed [...]?one of the first Web-based interactive training sites devoted to forex trading?in 2001, and currently manages a global forex trading team and call room at [...] He is founder of [...] a global forex currency game company that combines challenges and training. Cofnas is head forex coach at [...] and the author of The Forex Trading Course (Wiley).
Preface ix
Acknowledgments xi
About the Author xiii
PART ONE Key Option Elements 1
CHAPTER 1 The Elements of an Option Trade 3
Plain Vanilla Options 3
Purchasing an Option 3
Writing an Option-Beginners Don't 8
Elements of an Option Trade or Ticket 10
The Greeks 15
Summary 23
CHAPTER 2 What Affects Forex Option Prices? 25
Time 25
Volatility 27
Summary 50
PART TWO Forex Market Drivers 51
CHAPTER 3 Finding Direction for Your Forex Option Trade 53
The Importance of Interest Rate Expectations 53
How to Anticipate the Direction of the Federal Open Market Committee (FOMC) 54
How to Use Housing Sector Data for Developing Forex Option Trade Direction 62
Evaluating Real Estate Exchange-Traded Funds (ETFs) 71
Summary 77
CHAPTER 4 Tracking Fundamental Directions 79
Using Currency Targeted Exchange-Traded Funds (ETFs) to Determine If the Market Is Dollar Bearish or Bullish 79
Diagnosing Global Economic Conditions 83
Group Currencies by Purchasing Power Parity (PPP) (Big Mac Index) 84
Tracking the Currency-Commodity Connection 94
The Currency Outlook Checklist 97
Summary 98
PART THREE Timing the Trade with Technical Analysis 99
CHAPTER 5 Chart Patterns and Trade Entry 101
Chart Patterns and How to Use Them 101
Scanning for Volatility 110
Summary 114
CHAPTER 6 Using Experts to Shape Trading Decisions 115
Forecasting Accuracy? 116
Professional Sources of Expert Forex Opinion 117
Follow the Housing Prices 122
Follow the Think Tanks 124
Follow the Bank Forecasts 125
Summary 128
PART FOUR Forex Options Strategies 129
CHAPTER 7 Vanilla, Spreads, and Volatility Strategies 131
Plain Vanilla Strategies 131
Currency Pair Spreads: Playing the Correlations and Divergencies 133
Commodity-Currency Spread Strategies 139
Carry Trade Option Strategies 144
Trading Delta Call/Put Ratios 147
Trading Vega or Volatility 150
Gamma Spread Trading 154
Key Forex Option Combinations and Components 156
Summary 163
CHAPTER 8 Binary Option Strategies 165
What Is a Binary Option? 166
Using Exotics to Derive Market Sentiment 170
Combining Binary Options with Plain Vanilla and Spot Trading 173
Summary 177
CHAPTER 9 Option Strategies for Extreme Outcomes and Scenarios 179
Recession in China or Continued Boom 179
Option Trading to Play Carry Trades with Hedge-Putting on Collars 181
[...] + Gold and [...] + Crude Oil 182
Trading $Oil Shock ([...]) in Forex Options 183
Play a U.S. Stagflation and Inflation 184
Preemptive Attack on Iran 184
Recovery of Housing 185
Summary 185
CONCLUSION Putting It All Together 187
Achieving Optimal Forex Option Trading Fitness 187
Forward Testing Your Forex Option Trading Fitness 188
Where to Trade Forex Options 189
APPENDIX Selected Futures Columns 191
Index 213
Erscheinungsjahr: | 2008 |
---|---|
Fachbereich: | Betriebswirtschaft |
Genre: | Wirtschaft |
Rubrik: | Recht & Wirtschaft |
Medium: | Taschenbuch |
Inhalt: | 240 S. |
ISBN-13: | 9780470243749 |
ISBN-10: | 0470243740 |
Sprache: | Englisch |
Herstellernummer: | 14524374000 |
Einband: | Kartoniert / Broschiert |
Autor: | Cofnas, Abe |
Hersteller: |
Wiley
John Wiley & Sons |
Maße: | 254 x 178 x 13 mm |
Von/Mit: | Abe Cofnas |
Erscheinungsdatum: | 01.12.2008 |
Gewicht: | 0,449 kg |
ABE COFNAS has been the forex trading columnist for Futures magazine since 2001. He also formed [...]?one of the first Web-based interactive training sites devoted to forex trading?in 2001, and currently manages a global forex trading team and call room at [...] He is founder of [...] a global forex currency game company that combines challenges and training. Cofnas is head forex coach at [...] and the author of The Forex Trading Course (Wiley).
Preface ix
Acknowledgments xi
About the Author xiii
PART ONE Key Option Elements 1
CHAPTER 1 The Elements of an Option Trade 3
Plain Vanilla Options 3
Purchasing an Option 3
Writing an Option-Beginners Don't 8
Elements of an Option Trade or Ticket 10
The Greeks 15
Summary 23
CHAPTER 2 What Affects Forex Option Prices? 25
Time 25
Volatility 27
Summary 50
PART TWO Forex Market Drivers 51
CHAPTER 3 Finding Direction for Your Forex Option Trade 53
The Importance of Interest Rate Expectations 53
How to Anticipate the Direction of the Federal Open Market Committee (FOMC) 54
How to Use Housing Sector Data for Developing Forex Option Trade Direction 62
Evaluating Real Estate Exchange-Traded Funds (ETFs) 71
Summary 77
CHAPTER 4 Tracking Fundamental Directions 79
Using Currency Targeted Exchange-Traded Funds (ETFs) to Determine If the Market Is Dollar Bearish or Bullish 79
Diagnosing Global Economic Conditions 83
Group Currencies by Purchasing Power Parity (PPP) (Big Mac Index) 84
Tracking the Currency-Commodity Connection 94
The Currency Outlook Checklist 97
Summary 98
PART THREE Timing the Trade with Technical Analysis 99
CHAPTER 5 Chart Patterns and Trade Entry 101
Chart Patterns and How to Use Them 101
Scanning for Volatility 110
Summary 114
CHAPTER 6 Using Experts to Shape Trading Decisions 115
Forecasting Accuracy? 116
Professional Sources of Expert Forex Opinion 117
Follow the Housing Prices 122
Follow the Think Tanks 124
Follow the Bank Forecasts 125
Summary 128
PART FOUR Forex Options Strategies 129
CHAPTER 7 Vanilla, Spreads, and Volatility Strategies 131
Plain Vanilla Strategies 131
Currency Pair Spreads: Playing the Correlations and Divergencies 133
Commodity-Currency Spread Strategies 139
Carry Trade Option Strategies 144
Trading Delta Call/Put Ratios 147
Trading Vega or Volatility 150
Gamma Spread Trading 154
Key Forex Option Combinations and Components 156
Summary 163
CHAPTER 8 Binary Option Strategies 165
What Is a Binary Option? 166
Using Exotics to Derive Market Sentiment 170
Combining Binary Options with Plain Vanilla and Spot Trading 173
Summary 177
CHAPTER 9 Option Strategies for Extreme Outcomes and Scenarios 179
Recession in China or Continued Boom 179
Option Trading to Play Carry Trades with Hedge-Putting on Collars 181
[...] + Gold and [...] + Crude Oil 182
Trading $Oil Shock ([...]) in Forex Options 183
Play a U.S. Stagflation and Inflation 184
Preemptive Attack on Iran 184
Recovery of Housing 185
Summary 185
CONCLUSION Putting It All Together 187
Achieving Optimal Forex Option Trading Fitness 187
Forward Testing Your Forex Option Trading Fitness 188
Where to Trade Forex Options 189
APPENDIX Selected Futures Columns 191
Index 213
Erscheinungsjahr: | 2008 |
---|---|
Fachbereich: | Betriebswirtschaft |
Genre: | Wirtschaft |
Rubrik: | Recht & Wirtschaft |
Medium: | Taschenbuch |
Inhalt: | 240 S. |
ISBN-13: | 9780470243749 |
ISBN-10: | 0470243740 |
Sprache: | Englisch |
Herstellernummer: | 14524374000 |
Einband: | Kartoniert / Broschiert |
Autor: | Cofnas, Abe |
Hersteller: |
Wiley
John Wiley & Sons |
Maße: | 254 x 178 x 13 mm |
Von/Mit: | Abe Cofnas |
Erscheinungsdatum: | 01.12.2008 |
Gewicht: | 0,449 kg |