‘This is his “edge”: IV “overstatement” and IV mean reversion. Optimization and risk control are keys to exploiting this “edge”.
Obviously I've triggered you by my reference to Sossnoff and TT crew long term "haters" such as yourself ... will just say I think your "facts"...
I actually knew you were one of the “haters”, Not sure I have the desire to debate your points which I’ve (and you I know) seen mentioned and...
I believe it’s that he’s too pig headed to change due to his personal history and wealth situation... If he indeed trades personally different...
You are missing that this specific trade was what Jim sets up as a longer DTE strangle using the pre earnings IV pump only as somewhat extra...
1 of 3 very closely interrelated things I meant :D
Risk is 1/3 of what you need to understand to trade profitably, I.e. Risk, Reward, “Probability
Seems to me you need to use “volatility adjusted notional” values when trading a pair.
I think you will never be charged margin loan interest for option trades because options are non-marginable and can not be bought/sold using...
leverage (I.e. allowing greater diversity with similar capital usage), profit sources (time, direction, fear/greed).
They both do have the same delta bias but much different gamma, theta, Vega biases...
Probably VEGA.
What is “NP”? Thanks...
Heres a book I liked (btw; the "website" mentioned hasn't been updated in a long time i think). How to Price and Trade Options: Identify,...
May not matter, but You can change some of the modeling options in ToS (BS, binomial, berklystensly,, Volatility smile vs, individual IV vs...
Interesting and true? semantic distinction. Seems to me Any informed market participant understands every prediction is a bet and Visa-versa!!!
If one could predict w/100% accuracy, true they could soon own the whole world. If one predicted with any level of accuracy, they can profit to...
Who is this?, AFAIK, the only TT indicator is IV Rank ( or better "percentile"), and perhaps percent underlying change w/in 2 weeks, and perhaps...
I am interested in what you would propose...
I'm curious what change you're referring to? Is it the use of system P&L "expectation" vs. avg. trade P&L (which I'm guessing can still be a long...
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