Selling OTM Calls at high IV all the way down has been a good trade ... I seem to remember it working well back in 2009 As an example, Index Vols...
Ask Sossy how his edge / optimisation / risk control is doing now after market crash / vol expansion Sossy was short strangles in probably 80...
The UK CFD/Spreadbet brokers offer GUARANTEED stops on most major indices and FX pairs to protect against gap risk ... minimal cost / only charged...
It is the probability of the strike being touched ( regardless of option type ) ... use the OTM delta ... which should always be less than 0.50
... or Vol gets crushed on the rally up to the short strike
... and Sosnoff got me banned from ET over 4 years ago for saying exactly the same thing about Sossy and TastyTurd
No shame ... TastyTurd announce that Karen the SuperFraud is hosting their pop-up Pizza Party ... she's even wearing one of Sossy's hats ! [ATTACH]
How many positions are you going to have on simultaneously with 5% allocation ? 5% of what ? ... when the market moves 5% - 10% - 50% - 100%...
Not a bad idea to trade small ... at least in the early days ... and then trade whatever is the right size for you What is bizarre ... is for...
Everyone's risk tolerance is different ... usually depends on personal psychology / experience ... and how big a draw down you think you can...
... the hard way
If you ever listen to Sosnoff you quickly realise that you have to ... watch what he does ... and not what he says Although he frequently repeats...
Sosnoff's research doesn't measure Risk-Adjusted Returns so not the issue ... he just prefers the higher win rate ... so more 'winners' to talk about
SossySpies report everything back to TastyTurd HQ ...
I don't regard myself as a Sosnoff 'hater' ... despite in a hissy fit he arranged for me to banned from this forum for nearly 4 years ... I have...
Yet it was you who suggested that Sosnoff was honest/transparent/ethical ... but don't want to discuss when facts suggest otherwise
TastyTrades research indicates selling ATM straddles outperform selling OTM strangles .... yet Sosnoff persists in selling OTM strangles ... what...
Most of Sosnoff's strangle philosophy ignores most TastyTrade's own research as well ... which means that Sosnoff either doesn't believe his own...
Have you seen their Research Team ... full of schoolgirls who have almost zero trading experience
Tom Sosnoffesque
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