9
Trading on Deviations of Implied and Historical Densities
9.1
Introduction
9.2
Estimation of the Option Implied SPD
9.3
Estimation of the Historical SPD
9.4
Comparison of Implied and Historical SPD
9.5
Skewness Trades
9.6
Kurtosis Trades
9.6.1
Performance
9.7
A Word of Caution
Bibliography