Probably a stupid question based on above but if the bookies know the game then why is it when they leave the floor they still make trades based...
Can anyone tell me a good site that provides correlation studies for futures? I am not looking for sites with data geared towards trading...
If you are really sure the market has found a bottom and will be coming up (which I am not too sure of) then why not buy a call spread and finance...
Along the same lines as the original post, I found this book to be a pretty sound strategy if you are looking to sell premium and reduce risk:...
Sorry, I missed the sarcasm the first time I read this thread through. Describing a naked option selling strategy with the defense being covering...
If you are only trading a bear trend then why would you trade something that is nondirectional vs. a directional trade? With a three month trade,...
Besides your in depth research regarding the market not trending, what edge do you have selling what a lot of professional traders are buying?...
The problem with selling options this low is that the last .05 takes forever to come out. I have more success selling 60 days out and taking the...
Is the $20 net commissions? Also, did you adjust the price to a realistic fill? TOS papermoney puts on a trade without any slippage so make sure...
Backspreads are great trades on vehicles that have had a big up day or a long run up. Volatility has come out and there isn't as much fear being...
Hypothesis 1: vol will already have the announcement priced in Taking a look at how IV reacted around earnings both before and after might give...
Spend some time on the CBOE site. They have a bunch of free webcasts: http://oiwebcasts.cboe.com/portal/v_s_g.asp If that link doesn't...
Theta is time decay, it is one of the biggest enemies of a straddle. You lose a little every day when it doesn't move. Vega in a straddle will...
GOOG volatility shot up yesterday afternoon when the stock dumped fast after 1pm. The increase in vol inflated your option prices. With a move...
Options are deceptive, you throw up a risk graph of a straddle then look at a chart and see that the stock can easily move past the break evens...
As volatility increases the bid ask spread widens, also as the weekend approaches they widen too. To answer your question if you bought at .70...
They are trading the verticals or individual options. Remember, most butterfly pricing is an aggregation of the mid prices or so of all the...
Typically you will find you can execute the trade at the mid point of the bid/ask price maybe better/worse based on which vehicle you are trading....
I am sure others have already said this but just to repeat, TOS paper executes trades at fills you will never get in real life. It may not seem...
Either buy/ sell stock to get delta neutral or sell 1/2 the straddle and keep the other 1/2
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