Time decay refers to the rate at which time reduces the value of an option. First, it's essential to understand that time decay is exponential and accelerates as expiration draws closer. The rate of ...

Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Betsy began her career in international finance and it has since grown into a ...

Learn how option premiums are determined by factors like stock price, time to expiration, and volatility. Master the basics ...

What is Theta? What is option time decay? How does time decay work? These are common questions of beginning options traders. Theta is the Greek term used to denote option time decay. Theta is one of ...

Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors. Options traders who are familiarize with the term time decay understands the process under which the extrinsic ...

If you're an options trader, you've heard the buzz about 0DTE options. We are here to answer the questions we get asked the most by our clients. After all, the more educated traders of a product, the ...

Time decay is the natural reduction in an option's price as expiration approaches Time decay refers to the rate at which time reduces the value of an option. First, it's essential to understand that ...