Add training workflow, datasets, and runbook

training_data/curated/text/7eaccb001c514e0032d983b0ae27ca0dc89f1b62e43784be766ef4c70b9327ec.txt

@@ -0,0 +1,26 @@
+The Double Whammy
+With the stock around $64, there is a negative vega of about seven cents. As
+the stock moves lower, away from the strike, the vega gets a bit smaller.
+However, the market conditions that would lead to a decline in the price of
+Johnson & Johnson would likely cause implied volatility (IV) to rise. If the
+stock drops, Stacie would have two things working against her—delta and
+vega—a double whammy. Stacie needs to watch her vega. Exhibit 5.6
+shows the vega of Stacie’s put as it changes with time and direction.
+EXHIBIT 5.6 Johnson & Johnson 65 put vega.
+If after one week passes Johnson & Johnson gaps lower to, say, $63.00 a
+share, the vega will be 0.043 per contract. If IV subsequently rises 5 points
+as a result of the stock falling, vega will make Stacie’s puts theoretically
+worth 21.5 cents more per contract. She will lose $215 on vega (that’s 0.043
+vega × 5 volatility points × 10 contracts) plus the adverse delta/gamma
+move.
+A gap opening will cause her to miss the opportunity to stop herself out at
+her target price entirely. Even if the stock drifts lower, her targeted stop-loss
+price will likely come sooner than expected, as the option price will likely
+increase both by delta/gamma and vega resulting from rising volatility. This
+can cause her to have to cover sooner, which leaves less room for error.
+With this trade, increases in IV due to market direction can make it feel as if
+the delta is greater than it actually is as the market declines. Conversely, IV
+softening makes it feel as if the delta is smaller than it is as the market rises.
+The second reason IV has importance for this trade (as for most other
+strategies) is that it can give some indication of how much the market thinks
+the stock can move. If IV is higher than normal, the market perceives there