Gamma
Search Dictionary
Definition of 'Gamma'
Gamma is the first derivative of Delta (mathematically). It is used when trying to measure the price of an Option relative to the amount that it is in-the-money or out-the-money. In practical terms, Gamma measures the rate of change for Delta against the underlying asset's price.
In common usage you will notice that Gamma has a lower value when the option is deep in-the-money or out-the-money it is greatest when the option is at-the-money (or near-the-money).
All the Greeks: Delta, Gamma, Vega, Theta, Vomma
In common usage you will notice that Gamma has a lower value when the option is deep in-the-money or out-the-money it is greatest when the option is at-the-money (or near-the-money).
All the Greeks: Delta, Gamma, Vega, Theta, Vomma
Do you have a trading or investing definition for our dictionary? Click the Create Definition link to add your own definition. You will earn 150 bonus reputation points for each definition that is accepted.
Is this definition wrong? Let us know by posting to the forum and we will correct it.
Emini Day Trading /
Daily Notes /
Forecast /
Economic Events /
Search /
Terms and Conditions /
Disclaimer /
Books /
Online Books /
Site Map /
Contact /
Privacy Policy /
Links /
About /
Day Trading Forum /
Investment Calculators /
Pivot Point Calculator /
Market Profile Generator /
Fibonacci Calculator /
Mailing List /
Advertise Here /
Articles /
Financial Terms /
Brokers /
Software /
Holidays /
Stock Split Calendar /
Mortgage Calculator /
Donate
Copyright © 2004-2023, MyPivots. All rights reserved.
Copyright © 2004-2023, MyPivots. All rights reserved.