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The Definition of Delta & Delta Through Metaphor

Basic Pricing

Have you ever had trouble understanding Delta and what it measures? If so, try learning about it in a slightly different way with OIC instructor Mat Cashman. In this video, Mat will explain Delta through metaphor and illustrate how Delta can be used to understand an options’ value sensitivity to stock price.

0:16 The Definition of Delta
0:52 Deep In-the-money Options
1:24 At-the-money Options
1:36 Far Out-of-the-money Options
2:03 Delta Through Metaphor

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