Add training workflow, datasets, and runbook

training_data/curated/text/685d8057f339b6b4c00dfcc7b2d160a8636380552b3bb06c1377dea88cd834c8.txt

@@ -0,0 +1,33 @@
+Chapter 37: How Volatility Affects Popular Strategies 
+POSITION VEGA 
+757 
+As can be done with delta or with any other of the partial derivatives of the model, 
+one can compute a position vega - the vega of an entire position. The position vega 
+is determined by multiplying the individual option vegas by the quantity of options 
+bought or sold. The "position vega" is merely the quantity of options held, times the 
+vega, times the shares per options ( which is normally 100). 
+Example: Using a simple call spread as an example, assume the following prices 
+exist: 
+Security Position Vega Position Vego 
+XYZ Stock No position 
+XYZ July 50 call Long 3 calls 0.098 +0.294 
+XYZ July 70 call Short 5 calls 0.076 -0.380 
+Net Position Vega: -0.086 
+This concept is very important to a volatility trader, for it tells him if he has con­
+structed a position that is going to behave in the manner he expects. For example, 
+suppose that one identifies expensive options, and he figures that implied volatility 
+will decrease, eventually becoming more in line with its historical norms. Then he 
+would want to construct a position with a negative position vega. A negative position 
+vega indicates that the position will profit if implied volatility decreases. Conversely, 
+a buyer of volatility - one who identifies some underpriced situation - would want to 
+construct a position with a positive position vega, for such a position will profit if 
+implied volatility rises. In either case, other factors such as delta, time to expiration, 
+and so forth will have an effect on the position's actual dollar profit, but the concept 
+of position vega is still important to a volatility trader. It does no good to identify 
+cheap options, for example, and then establish some strange spread with a negative 
+position vega. Such a construct would be at odds with one's intended purpose - in 
+this case, buying cheap options. 
+OUTRIGHT OPTION PURCHASES AND SALES 
+Let us now begin to investigate the affects of implied volatility on various strategies, 
+beginning with the simplest strategy of all - the outright option purchase. It was 
+already shown that implied volatility affects the price of an individual call or put in a