Derivatives Data and Options

Lessons in this module

1. 17.1

   Open interest: the four “price + OI” combinations

   Use price and OI together to tell whether a move runs on new money or on positions closing

   14 minAccess in Telegram

2. 17.2

   Funding rate: who pays whom and what it says about the crowd

   Read skewed sentiment and the cost of holding a position

   13 minAccess in Telegram

3. 17.3

   Liquidation cascades and liquidation maps

   Understand where the market is “pulled” for stops and how not to become fuel

   14 minAccess in Telegram

4. 17.4

   Basis, contango and cash-and-carry

   Assess the futures premium and understand the risk-free arbitrage setup

   13 minAccess in Telegram

5. 17.5

   Long/short ratio and sentiment indicators: where they lie

   Tell useful positioning data apart from marketing noise

   13 minAccess in Telegram

6. 17.6

   Data source honesty: proxy versus fact

   Tell a real exchange metric apart from an estimate built from available data, and always show users exactly what they are looking at

   13 minAccess in Telegram

7. 17.7

   Options in plain words

   Tell the buyer's right from the seller's obligation and describe the four basic positions

   13 minAccess in Telegram

8. 17.8

   What happens to an option by expiry

   Calculate intrinsic and time value, the break-even point and the payoff at expiry

   14 minAccess in Telegram

9. 17.9

   How to read an option chain

   Read strike, expiry, bid and ask, volume, open interest and IV without confusing volume with open interest

   14 minAccess in Telegram

10. 17.10

    Greeks without a wall of math

    Understand what delta, gamma, theta and vega show and how a hedger adjusts when price moves

    15 minAccess in Telegram

11. 17.11

    Implied volatility and expected move

    Estimate the size of move the market prices in from IV and tell it apart from a directional forecast

    14 minAccess in Telegram

12. 17.12

    Where options are concentrated

    Find open interest clusters by strike and remember they do not reveal the dealer's side

    13 minAccess in Telegram

13. 17.13

    Why dealers hedge

    Explain the chain from an option position to a hedge in the underlying and the difference between positive and negative gamma

    15 minAccess in Telegram

14. 17.14

    Max Pain: what it really shows

    Calculate Max Pain for a specific expiry without turning the distance to it into a directional forecast

    14 minAccess in Telegram

15. 17.15

    Expiry and dealer flows

    Understand how time to expiry changes what open interest concentration and hedging flows mean

    14 minAccess in Telegram

16. 17.16

    Combining options with DAO analysis

    Fit options data into scenarios A, B and C as context, not as a standalone signal

    15 minAccess in Telegram