Through the first qrtr of 2009 I happened to play a similar strategy (with mild modifications) on SPY. I lost 28% of my portfolio. That could...
It's called Hot Flashes :D
If you believe so, then sell OTM put verticals.
Anyone has experience with them? Specifically- liquidity and quality of fills on combos. I buy flies all over the place (SPX) and contemplating...
I am considering OptionsExpress. Still haven't made up my mind though. In the meantime, still trading with TOS, but not very happy anymore.
I second that :cool:
What options strategy would you use if you had an estimation that a certain issue is going to move atleast 5% (no direction bias) after EA? Of...
It's always Bernanke :D
It would be nice to see how you actually trade this stuff.
http://news.yahoo.com/s/nm/20110108/us_nm/us_usa_shooting_congresswoman
http://888options.com/ choose: trading tools- pricing calculators
works for me...:cool:
Try calendar spread. Close on strike-touch.
Or in two words: gamma scalping :)
I tried converting pair trading into options a couple of years ago. I thought to overcome the greeks' influence by using DITM options, but then...
OTM strangles bear the same P&L as ITM, just cheaper to buy, with better liquidity andbetter B/A spreads. ditto again. gamma scalping IS...
b/a is bid/ask, and IB give (take, actually) 70 cents if you trade more than 1 contract at a time.
Both IC and calendars share the same directional risk. They are both short gamma and will get killed on a large move of the underlying. So...
Almost all options trades are spreads. What exactly are you aiming at? :confused:
I have a plan for you: What you used to buy- sell, when you used to sell- buy. :D
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