Demystifying the Option GreeksWhat Are the Greeks? Core Definitions Made SimpleThink of an option as a car. The Greeks are the gauges that t

Demystifying the Option GreeksWhat Are the Greeks? Core Definitions Made SimpleThink of an option as a car. The Greeks are the gauges that tell you how the car will behave under different conditions. Delta measures how much the option price moves for a $1 change in the underlying stock – like the speedometer showing how fast you go when you press the accelerator. Gamma tells you how quickly Delta itself changes – similar to how the car’s acceleration feels smoother or harsher as you shift gears. Theta is the time decay, the loss of value as the clock ticks –...