... byc06 JWBK147-Smith May 8, 20 08 9:52 Char Count=PART TWOOption Strategiesc05 JWBK147-Smith April 25, 20 08 8:42 Char Count=62 WHY AND HOW OPTION PRICES MOVEof prices, and three deviations contain ... classic forecasting techniques, such as regres-sion analysis, time series analysis, and even classic chart patterns such ashead and shoulders and trendlines. However, professional options traderswill ... Volatilityc05 JWBK147-Smith April 25, 20 08 8:42 Char Count=CHAPTER 5VolatilityVOLATILITY AND THE OPTIONS TRADERVolatility is important for the options trader. The expected volatility of...