Dr. Z, Interesting that you call it "perceived" risk :cool: because I wonder if Max is still around due to survivorship bias? If Max's min...
I understand that several funds based on selling index options show their best performance to be when the VIX is falling or flat. They suffer when...
Murray, Yes, I do a relative strength ranking of all the sector ETFs each Friday. When the overall market is trending up, I look at the...
ktm, A couple of questions: 1) In terms of risk management, do you use a stop loss -- something like what Ansbacher does -- close the spread...
IV, if I understand correctly, X and Y should track very closely because the market is efficient. Where is 2.268 coming from SQRT (30/365) is not...
I've attached a weekly chart of SPX, VIX, and some ATR indicators. The top chart is the SPX since 1980. The second chart is the smoothed...
rdemyan, Unfortunately, I can't give an example trade just yet -- need a few more days to work through this. But just take your current Jan...
IV has hit it on the head... again. I have read/heard this comment from at least a half dozen proficient traders (Dr. Z's posts on another thread,...
I think we need to read IV's post carefully (the part about trading directionally and about there not being a good way to adjust a short...
Dr. Z, I think the number of adjustments can be substantially reduced if a couple of ENTRY rules are followed (my two cents here based on what...
Coach, I'm rolling (market conditions taken into account) when I am 10 points from the strike as well. Yesterday I rolled a 1270/1280 into...
Coach, 400 SPX DEC 1215/1220 Put Spreads -- isn't that a bit tight?
Rolled up 1270/1280 to 1280/1290 today.
Murrary, Yes, the median condor adjustment gives a little more breathing room at the expense of more risk. I like to take this off the week...
Kai, It was me. Thanks for the update. How about an article on double butterflies? COACH: [off-topic, sorry].
Coach, I'm showing the 1305 strike to have an open interest of 0. Is this correct?
Long vega, short delta -- are you thinking of put calendars?
Coach, I added some 1260/1265 call hedges today. Are you looking at putting on any call fly hedges right now?
MoMoney, "I think you can find an optimal way of sizing the position and possibly pyramiding etc. to remedy that situation though. The goal...
rdemyan, exit at 50% of max profit, DO NOT hold till expiration :) are the profit-taking rules I use. In terms of entry, you'll get less...
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