Book Review - The Options Workbook by Anthony Saliba

Written on June 4, 2008 by OptionsRopeaDope

Anothony Saliba is a legend in options trading, having been the most prominent options trader featured in Market Wizards. This is his most popular book.

 

The Options Workbook: Fundamental Spread Concepts and Strategies for Investors and Traders, 3rd Edition

The Options Workbook is meant to be an introduction and overview into trading options and covers alot of territory. Here is the Table of Contents:

  • Basic Concepts
  • Building Blocks - Calls and Puts
  • Synthetic Relationships
  • Directional-Neutral Strategy - Covered Call
  • Directional Strategies - Vertical Spreads
  • Portfolio Insurance - Collars
  • Nondirection Strategies - Straddles and Strangles
  • Strategies for Directionless Markets - Butterflies, Condors
  • Exploring Volatility
  • Volatility Spreads - Ratio Spreads and Backspreads
  • 21st Century Trader

There’s alot of good information here, although most of it is basic. There;s some good discussion of the greeks, and it gets into some key volatility concepts, like volatility skews, but it will leave ou hungry for more.

Overall, I think this is a good book, and I skim through it every now and then to get reminded of some basics. It does not cover calendars (or any multi-month spreads) and does not spotting a good trade, or how to manage them, but it does do quite well with gently introducing a new trader into the vocabulary and complexity of options trading.

But when you’re ready, you’ll want to graduate to more hardcore and in depth discussions of the key concepts (including Saliba’s new book). If you’re already there, this is a great book to add to your collection.

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