New to options and primarily interested in their value for leverage. Wondering if any one uses k*theta as well as delta when calculating the leverage factor. With k being some time normalizing constant. Say I want to buy IWM Call strike 220 with delta = .246, theta = -.084, spot = 212 If spot moves to 213 we should expect the value of the contract to increase by .246 * 100 = 24.6 using delta only. But we also know that if we hold the option for the whole trading day, the price of the contract

Using options theta and delta for calculating leverage over underlying?
Hasselhoff
