Understanding Market Regimes: A Guide to Navigating Stock Market Cycles
Market regimes—periods with distinct patterns like bullish growth or high volatility—significantly shape investment outcomes.
Importance of Checking for Normal Distribution in Time Series Analysis
Importance of Checking for Normal Distribution in Time Series Analysis.
Understanding Open Interest and Max Pain in Options Trading
Open Interest (OI) and Max Pain, their use in practical trading, and how they help identify market sentiment and potential price movements.
Dynamic Delta Hedging vs. Static Delta Hedging
Understanding of Static and Dynamic delta hedging with Advantages, Disadvantages and Applications.
Trinomial Model
The Trinomial model is an extension of the Binomial options pricing model and is commonly used to value options.
Volatility Clustering
This blog covers the phenomenon of volatility clustering in financial markets, its causes, and its significance for risk management, asset pricing, and portfolio management.
Numerical Methods in Finance
Numerical methods and their uses in finance.
Factor Analysis vs Principal Component Analysis
This blog will cover the broader view of dimensional reduction techniques - Principal Component Analysis and Factor Analysis with key differences.
Volatility Dispersion
In this blog, I explore the concept of volatility dispersion in detail. We'll cover its key elements, various types, advantages, and limitations, providing a comprehensive understanding of this trading strategy. Additionally, visualizations will be included to illustrate the concepts and help clarify how volatility dispersion works in practice.
Second Order Greeks – Veta and Vomma
The critical roles of Veta and Vomma in options trading. These second-order Greeks offer profound insights into how option Vega changes with time and volatility