Lab Guide
The goal is quick intuition from small experiments, not watching and moving on. These steps get the most out of the labs.
How to use any lab
- Change one variable at a time (strike, DTE or IV). That keeps cause and effect clear.
- Look at the payoff first, then the Greeks, then Probability/EV.
- Use the “Challenge” goals: playing toward a target speeds up learning.
- Take a note: “What did I expect, and what happened?” One sentence is enough.
Options Chain Lab
- Pick ATM, ITM and OTM strikes in turn and watch how premium and delta change.
- Aim for a break-even distance (e.g. 2–6%) to build a feel for “how far does it need to move?”
Trade Builder Lab
- Start from a preset (CC/CSP/Condor/Collar/Straddle), then change the legs.
- Covered Call and Collar need a stock leg (100 shares): feel the “stock + option” nature of the strategy.
- “Max loss/profit (approx)” comes from a price scan; take the warning on an unlimited-risk short call seriously.
Probability / EV Lab
- Read POP and EV together: a high POP sometimes comes with a low or negative EV.
- With “Smooth” on you get a fast preview; when you stop, the full 10k run finishes.
- Use Resample to see the distribution: don’t over-trust a single path.