Option Volatility and Pricing: Advanced Trading Strategies and Techniques, 2nd Edition

Finally made time to read this classic and glad I did. Definitely worth the time. It could use an update and a new edition, but is a must read for options practitioners. Note: The workbook is not a great companion to the text.

I’ve traded options as just something i messed with. Made money, lost money. This was recommended to me by a professional in the field of institutional trading and it has totally changed my prospective on how to trade options. The beginning goes over a lot of the basics but about 1/3 the way through it gets into the good stuff and is easy enough to understand if you have college level calc and stat. The good stuff being how dynamic options are and with some creativity there are many ways to be near risk free to “quantitatively”risk free in your positions.

The other is MacMillan’s 1000 page tome. Good luck!

I am giving this book four stars because I have not read it yet. I would have liked to give it less, but I don't think that is fair because I have not read it yet. In this case, I have not read it yet because it is 550 pages of text that is more geared towards a college course - and an advanced one at that! I have taken a graduate statistics course that was easier to comprehend and understand than this book.I don't think this book would be useful to the average person or someone new to options trading. Now, there may be folks who have a very thorough understanding of options trading and could benefit from this because it's not so much new knowledge, but more detailed learning of what they already know. In all fairness, the book cover does say "Advanced Trading Strategies and Techniques" which is pretty much on target.I've had the book for a year and am not ready for it yet. I will keep it and possibly read it later - certainly updating my review as warranted.

This is my third shot at a book that clearly explains financial options. There are many other fluff books out there but this one clearly describes options and how they work. It’s not too heavy in math but has enough detail to explain the concepts. If you really want to learn options this is a great choice.

This book is considered the "bible" on options implied volatility. Natenburg was a pioneer into this study decades ago, and his work is still relevant today. Anyone who is thinking about trading options should add this book to their library. This book covers everything from the Greeks, the Black-Scholes model, binomial options, to hedging with options, and much more . . . I recommend reading this book with pencil and graph paper in hand to work through some of the concepts to make sure you fully grasp what you are reading; the writing style is clear (if somewhat dry) and the author has no problem communicating his knowledge and fully teaching the reader the concepts, but this book builds on itself quickly and if you are unsure of some concept early on, and don't correct it, you will probably be lost in later sections. Although this book covers the fundamentals of options and normal distributions/standard deviations; it would greatly help knowing the fundamentals of the aforementioned concepts before reading this book to fully grasp the information presented.

Best book available to understand equity options and other derivatives. It does require some mathematics skills, but is accessible. Most importantly, it's not a get rich quick book. Once you command the concepts and vocabulary, you will never need to even look at a risk/reward @ expiration graph; you can just read the greeks!

This is a great book about RISK! Risk, what I mean is actually risk for everything not only in derivative markets. The author gave a smooth explanation for everything a trader should know about an option contract. It starts as the beginning of derivatives were created till now.Btw, it is a book between academic and practical, more practical.