Account
New to ADSS? Open an
account now to get started.
Already have an account?
Add funds to your ADSS account
Account
New to ADSS? Open an
account now to get started.
Add funds to your ADSS account
In options trading, epsilon refers to the elasticity of an option’s value, or how prone to small price changes in the underlying asset a contract is. It is represented by the symbol ε. It is part of a set of mathematical measures that investors use in options trading, alongside delta, gamma, and vega. It can be used to help investors understand how an option’s price will change when there are small movements in financial markets.
The Greeks are mathematical measurements that investors use when trading options. These measurements allow investors to estimate the risk and potential reward of each options contract. Epsilon is a ‘minor Greek’ alongside rho, lambda, and theta. The ‘major Greeks’ in options trading are delta, gamma, and vega.
Epsilon helps options traders assess how sensitive an option contract’s delta, which is how sensitive it is to price volatilities in its underlying asset. It is not a commonly used measure when trading options compared to delta. Nevertheless, it can be useful for investors looking to manage their risk and exposure to changes in price volatility.
ADSS offers a range of global markets for traders, with opportunities in indices, commodities, forex, equities and more. We also feature tutorials, how-to guides, and weekly webinars to help you navigate the financial markets and find better trading opportunities. You can start trading and investing online by opening a live trading or demo trading account.
Investing in CFDs involves a high degree of risk that you will lose your money due to the use of leverage, particularly in fast moving markets, where a relatively small movement in the price can lead to a proportionately larger movement in the value of your investment. This can result in loses that exceed the funds in your account. You should consider whether you understand how CFDs work and you should seek independent advice if necessary.
ADS Securities LLC (“ADSS”) is authorised and regulated by the Securities and Commodities Authority (“SCA”) in the United Arab Emirates as a trading broker for Over the Counter (“OTC”) Derivatives contracts and foreign exchange spot markets. ADSS is a limited liability company incorporated under United Arab Emirates law. The company is registered with the Department of Economic Development of Abu Dhabi (No. 1190047) and has its principal place of business at 8th Floor, CI Tower, Corniche Road, P.O. Box 93894, Abu Dhabi, United Arab Emirates.
The information presented is not directed at residents of any particular country outside the United Arab Emirates and is not intended for distribution to, or use by, any person in any country where the distribution or use is contrary to local law or regulation.
ADSS is an execution only service provider and does not provide advice. ADSS may publish general market commentary from time to time. Where it does, the material published does not constitute advice, or a solicitation, or a recommendation to a transaction in any financial instrument. ADSS accepts no responsibility for any use of the content presented and any consequences of that use. No representation or warranty is given as to the completeness of this information. Anyone acting on the information provided does so at their own risk.
