Skew Lock?

Discussion in 'Options' started by thefuturestrader, Mar 28, 2025 at 10:34 AM.

  1. Long time lurker, first time poster. I am about to start trading /ES and /NQ options after a long break from active trading. I have always found dest/poopy/voldemort's posts very educational even though I understand maybe 50% of what he is saying on a good day. Reading back over some posts, I am seeing discussion of the concept of skew lock for which he shows the greeks of those positions in some screenshots. I cannot decipher what the actual structure of the trade is though. I assume is some type of butterfly spread, but am not sure. If anyone has any idea or input, I would appreciate it.
     
  2. newwurldmn

    newwurldmn

    First time poster with 182 posts.
     
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  3. taowave

    taowave

    Nothing gets by you!!!



     
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  4. newwurldmn

    newwurldmn

    thats why they call me "two-eyes newwurldmn"
     
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  5. maxinger

    maxinger

    Someone asked him that Q before.

    His response was :
    skew lock means lock the skew.

    Similarly,
    air lock means lock the air?
     
    Last edited: Mar 28, 2025 at 7:10 PM
  6. newwurldmn

    newwurldmn

    door lock means door the lock.
     
  7. Real Money

    Real Money

    "spread of conditional varswaps..."

    I wouldn't worry about it. You likely don't have the means or education to f--- with it.
     
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  8. taowave

    taowave

    Nothing ventured, nothing lost


     
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  9. Arnie

    Arnie

    AI generated answer:
    In the context of options trading, "option skew lock" refers to a situation where the implied volatility of options with the same expiration date exhibits a "skew" or "smile" pattern, meaning that the implied volatility is higher for options with strike prices that are far out of the money (both puts and calls) compared to options closer to the money (at-the-money).
     
  10. Arnie

    Arnie

    We need a Dest wisperer