Part of it is making sure the short strike you're selling is expensive.
Good for you & good luck Overnight.
It's irrelevant if it smells iffy or doesn't smell iffy.
Thank you for your comment. 1) As Nassim Taleb puts it "Probability is not a mere computation of odds on the dice or more complicated variants;...
Correct. As professional options trader Martin O'Connell(who advised the likes of Nassim Taleb) put it in "The Business of Options, pg. 5".. In...
Example from "The Business of Options" by Martin P. O'Connell, pg. 5 Suppose I would like to bet that I can roll a 4 in a single roll of one die....
Professional option traders are statistically passive(That is, I don’t care how likely I am to win this time. I want to win, on average. This...
I don’t get any benefit from that. Just giving credit where I learned it from. I felt guilty otherwise.
It is practically useless to trade with a demo/paper account versus real money. Utter waste of time.
Epistemic arrogance is the difference between what you know and what you think you know. On the other hand, An epistemically humble person will...
Hong Kong will never go become one with China after the 50 years. Once you taste freedom, you die for it.
That isn't a black swan. Black swan is inherently hidden and when it appears it happens instantly, right away. Our knowledge of the developments...
Thank you for your recommendation. Will search.
The original Black-Scholes model is based on many assumptions; Assumptions about the market in the BS model are: 1) There are no arbitrage...
Search: Kelly Criterion.
Fellow EliteTrader, your response epitomizes my argument.
Yeah pretty much. Focus should be price for traders and long term value for investors.
I mean to say it is worth going out of your way to not know the numbers versus knowing as knowing leads to too much information which leads to a...
Rather “How volatile the stock was.”
The information of 52 week highs & lows carry no intrinsic value and in fact distorts views and confusion. It doesn’t help with anything. It is...
Separate names with a comma.