The Importance of Greeks.

Discussion in 'Options' started by the13th, Aug 25, 2006.

  1. the13th


    Hi guys,
    Ok, this is not a thread to ask about what you think about the importance of greeks as I already know that it is not only important but vital. Like bigdaddy was saying, how can you buy a house if you don't know the market rate. So with that said, my question is, what or where can I find these greeks. I saw one software called optionsvue. It looks good with scanners and stuff BUT it cost like US$2100! So is there another cheaper alternative? Is the free screening from ivolatility good enough?

  2. MTE


    Greeks are the measures of option sensitivity and software like OptionVue or any other software that has an option pricing model can calculate them. The cheapest alternative is the free software that your broker provides (i'm fairly certain that nowadays most option brokers provide this, some provide more functionality than others though).

    Btw, I suggest you pick up a book on options and educate yourself about the greeks.
  3. the13th


    I have in fact placed an order for the book called Options Volatility and Pricing. I read a few review on it and pple were saying it's a good book. SO looking forward to reading it.
  4. Yes I agree OptionVue is expensive and from the website I get the impression of a big, bloaty application that's not very flexible. Also it has it's own datafeed and that only supports US options.

    When you start out you'll have to experiment a lot. Your best bet is to use Excell. You will be able to fill the sheet with data from IB through DDE-links, realtime.
    Formulas for IV and the greeks you can either build yourself, very complicated, or you can buy a Excell-includer from
    You get a set of fine Excell-functions which you can insert in your spreadsheet anywhere. You'll learn al lot alone by doing this.
    There are also scanning functions included but I don't have experience with them.