It's not bad, IMO: ENTRY EXIT NETRET COMMIS POSPL% AV_S AV_E ACCTPL% GROSSPL% 35160.00 36156.00 974.00 22.00...
How does Apple do in China and India... :-)
For buying (not writing) Calls and Puts a margin account is usually not necessarily required; cash acct is enough. Here's more info:...
I rechecked the calculations and couldn't find anything wrong. My conclusion: the increase of IV is obviously an advantage for the options...
Preliminary calculations show that one then gets even much better results!... :D Tested buying 2 weeks before the ER at vola=20% and taking >20%...
Another fallacy is this: if the price changes were random, then the price would not deviate much from each other, ie. practically it would stay...
This is extra for Neke: here's a low risk options construct using 2 months ITM options (actually a Strangle): Using a normalized basis of 100 (ie....
But: the rise of the IV means that all options that were bought before will gain in their premiums. So, conclusion is: the market makers cannot...
Hi neke, did you know that: http://en.wikipedia.org/wiki/Gambler's_fallacy Maybe it has something to do with it...
I mean: a margin acct is dangerous for a newbie. a newbie better should trade on a cash-acct basis (no leverage and no shorting) for a while until...
you lack trading experience to have/use a margin account.
Yeah, sort of... :-) Nay
I'm just playing around some constructs, ie. at the moment it's just some theoretical work.
true. Just for the record: for vola=60% and the same other params as before the best I could find is this one: the max risk is 4.58%, and the...
From market's view, if Romney wins the market will go up, if Obama wins the market will basically stay flat. BUT: it will be only a short term...
Vola=20%, Interest=0.5%, t=40 days, using YearTradeDays=253; ie. equals to 365.25/253*40=58 calendar days, ie. about 2 months till maturity. There...
FYI: Pairs Trading uses a similar methodology: http://en.wikipedia.org/wiki/Pairs_trade
The reason could be such developments like this one (correlation reversal): http://www.elitetrader.com/vb/showthread.php?s=&threadid=252187...
That's it! :D
No, you can use the API also with the demo account, but then historical quotes from the last week or so are played in the demo. For realtime...
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