Theta measures how quickly an option’s time value decreases as it gets closer to expiration. Time value, part of an option’s extrinsic value, is influenced by time and volatility. Unlike ...

Below, we guide you through the five primary Greeks—delta, gamma, theta, vega, and rho—explaining what each tells you, how they interact, and why they matter when you're trading options.

Time value led drop in option premium is not a new thing to anyone. This is most popularly known as Theta Decay. Naturally Option Premium keep reducing in value with the passage of time.

Have you found strategies that make use of the decay of an option's theta that are attractive but you can't stand the associated risk? At the same time, conservative strategies such as covered ...