Today is Jan’07 options expiration day. Those who would like to trade the whole day, options may offer great opportunity. All the theta gains as most will have zero time value by the end of the day. High theta ATM options may offer dramatic percentage gains. The option will move in tandem with the stock, so for [...]

How to use implied volatility to estimate how much a stock or index will move
When the implied volatility of an option is 35%, what does that mean? Volatility is a measure of how much a stock can move over a specific amount of time, and is defined as the standard deviation of daily percentage changes [...]