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thanks. i've read pretty much everything i can find on options on the internet, journals, etc... but the lingo on the floor is a whole new world. can someone just clarify how the long gamma is expected to make money? if you're long gamma and the underlying has a big move, do you expect to...

to follow up; i'm on a desk targeting volatility trading. most of the options i see traded are delta hedged. when they speak of the profits they will make if the mkts go in their direction, do the profits come from the option px moves, or from the hedge? i.e., when trading vol, if you buy...

I know the definition of all the greeks backwards and forwards (I think!). I don't fully understand the lingo though. What does it mean when a trader says he is long/short gamma? All the definitions say that if you're long options, you're long gamma. So why not say you're long options...