Delta-Neutral Hedging (Trading Perpetuals, Options & Spot)
Position Setup:
Buy 1 ETH at $2,500 in the spot market.
Sell an ETH/USDT call option with a $2,600 strike price.
Take a short position on ETH/USDT perpetual at $2,500 using 2x leverage.
Market Movement:
ETH remains range-bound between $2,450 and $2,550.
Using the Greeks Dashboard:
Delta Neutrality: The goal is to maintain a delta-neutral strategy by balancing the spot, perpetual, and options positions. The Greeks Dashboard will show a combined delta across all positions. If delta drifts away from zero, you can adjust your positions.
Gamma and Vega Insights: If volatility increases, gamma will show how quickly delta is changing, helping you adjust the hedge. Vega (volatility exposure) will indicate how much your option’s price is affected by volatility, guiding you in managing the risk.
Net Position: You maintain a delta-neutral strategy and capture profits from the option premium, minimizing directional risk.
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