Add training workflow, datasets, and runbook

training_data/curated/text/89813e43c68519ea9383e2b33edea250f56c1958179fb1864770d6aa469ea502.txt

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+AN INTrOduCTION TO OPTIONS ON FuTureS
+until expiration, estimated volatility, and interest rates. For any given set of values for these factors, 
+delta will equal the absolute difference between the option premium indicated by the model and the 
+model-indicated premium if the futures price changes by one point. Table 34.3 illustrates a number 
+of important observations regarding theoretical delta values:
+ 1. Delta values for out-of-the-money options are low. This relationship is a result of the 
+fact that there is a high probability that any given price increase
+9 will not make any actual differ-
+ence to the value of the option at expiration (i.e., the option will probably expire worthless).
+ 2. Delta values for in-the-money options are relatively high, but less than one. In-
+the-money options have high deltas because there is a high probability that a one-point change 
+in the futures price will mean a one-point change in the option value at expiration. However, 
+since this probability must always be equal to less than one, the delta value will also always be 
+equal to less than one.
+ 3. Delta values for at-the-money options will be near 0.50. Since there is a 50/50 chance 
+that an at-the-money option will expire in-the-money, there will be an approximately 50/50 
+chance that a one-point increase in the price of futures will result in a one-point increase in the 
+option value at expiration.
+ 4. Delta values for out-of-the-money options will increase as time to expiration 
+increases. A longer time to expiration will increase the probability that a price increase in 
+futures will make a difference in the option value at expiration, since there is more time for 
+futures to reach the strike price.
+ 5. Delta values for in-the-money options will decrease as time to expiration 
+increases. A longer time to expiration will increase the probability that a change in the futures 
+price will not make any difference to the option value at expiration since there is more time for 
+futures to fall back to the strike price by the time the option expires.
+ 6. Delta values for at-the-money options are not substantially affected by time to 
+maturity until near expiration. This behavioral pattern is true because the probability that 
+an at-the-money option will expire in-the-money remains close to 50/50 until the option is 
+near expiration.
+9 This section implicitly assumes that the option is a call. If the option is a put, read “price decrease” for all refer-
+ences to “price increase.”