Lesson 14 β Gamma: Why Your Delta Changes So Fast (Yiddish)
Dec 17, 2025Understanding Gamma is one of the biggest unlocks in becoming a serious options trader.
Gamma tells us how fast our Delta is changing as the stock price moves. If Delta measures your exposure to price movement, Gamma measures how quickly that exposure increases.
In this lesson, we cover:
- The true meaning of Gamma in simple terms
- How a Gamma of 0.0354 means your Delta will adjust by 0.0354 for every $1 the stock moves
- Why Gamma increases as expiration gets closer
- How Gamma risk can hurt option sellers — especially near the money
- How to use Gamma to prepare for fast-changing market behavior
We also looked at a real-world example showing how Gamma accelerates your trade’s behavior and can turn a stable position into a fast-moving one with just a small stock move.
Watch the full video above, and comment below if you have questions or requests. This channel is here to make the options world simple and accessible.