Time / Diagonal Spreads & Option Pricing
Time Spread And Its Reaction To Increasing Volatility and How It Affects Option Pricing The chart below shows a time spread, option pricing and its reaction to increasing volatility. As you can see, each time implied volatility increases, the value of the time spreads increase. This increase would naturally favor the option pricing.
–> Who Else Wants The Secret To Investing For Higher Return? - Click Here .
