Here is a wonderful article below are the highlights from this article http://www.investopedia.com/university/optionvolatility/volatility5.asp#axzz1xy5BGVZC The terms long and short here refer to the same relationship pattern when speaking of being long or short a stock or an option. That is, if volatility rises and you are short volatility, you will experience losses, ceteris paribus , and if volatility falls, you will have immediate unrealized gains. Likewise, if you are long volatility when implied volatility rises, you will experience unrealized gains, while if it falls, losses will be the result (again, ceteris paribus).(For more on these factors see, Getting to Know The "Greeks " .) - Vega Sign Rise in IV Fall in IV Long call Positive Gain Lose Short call Negative Lose Gain Long put Positive Gain Lose Short put Negative Lose Gain Figure 9: Outright options positions, Vega signs and profit and loss (ceteris paribus). The long call and the long put ha