The type of option (call or put)
The price of the underlying asset
The exercise price (or strike price) of the option
The expiration date
Volatility—Implied and Historical
Risk-free interest rate
Dividends and stock splits.
Vega starts with a V and stands for Volatility.
When you trade stocks, you must be aware of volatility. Volatility is a measure of how a security’s price is moving. Volatility is recognized as a measure of risk. If a stock price fluctuates all over the place in wild swings, then you’d find it uncomfortable because you wouldn’t have a clue what it was going to do next, ...