CluenexGlossary · Options
Delta
How much an option’s price changes when the stock moves $1. Also a rough chance of finishing in the money.
Why it matters
A 0.30 delta call gains about $30 per contract when the stock rises $1, and has roughly a 30% chance of finishing in the money.
How to read it
Calls have positive delta, puts negative. Strategies pick strikes by delta, like “sell the 25 delta put”.
Related
In the Cluenex app, this explanation opens next to every delta figure, with the live reading for the stock you are looking at. Open it in Cluenex