In this article, we’ll talk about the most famous formula in finance. Perhaps some readers looked at the derivation of the Black-Scholes formula once, saw phrases like ‘continuously revised delta hedging’ and decided that all options are priced according to some dark magic. I want to provide a very intuitive derivation of the Black-Scholes formula without second-order differential equations and hardcore mathematics. In fact, I’d like to simply calculate an expected value of an option, and link it to the Monte-Carlo simulation of an Options price.

Note: In this article, I will consider the European call option. This is a…

Unless you virtually ignore any news about the stock market, you should have heard about GME (very briefly: people in one of the brunches of Reddit coordinated and pushed the stock price of a dying computer games firm ‘to the moon’). In this post, we’ll explore what happened on Reddit during these volatile times.

In order to do so we’ll:

- Scrape comments from Reddit’s Wall Street Bets branch. Alternatively, it’s possible to use this dataset, but it’s not very extensive
- Perform sentiment analysis using VADER Sentiment and Bert model
- Get some interesting graphs and talk about them
- Create an RNN…

Student at Erasmus School of Economics. Passionate about Data Science and Finance