To say that the Greeks are useless altogether is a ridiculous statement. Yes, I'm sure there are people out there who trade very successfully...
One of the biggest mistakes I ever made was trying to find strategies that worked all the time. It has literally taken me years to get over this...
I don't know about that. Buying straddles week in/week out is a bad idea, but there are absolutely times when vol is very cheap and a straddle...
In reality, delta hedging once per day at the close is actually not that bad of a strategy. You get decent variance reduction relative to the...
The way I see it, there are many different opinions on delta hedging. After a lot of reading, live market implementation, and hundreds of...
[IMG] I have never said a word about my returns. And it's not like you are beating the S&P.....based on your own statements you are currently...
So you want to go to individual tickers right? You want to ram you thick skull straight through the wall right? Ok, if you're doing individual...
Fair enough. "Always" was a poor word choice.
You don't use this strategy profitably. Sorry to say. Play out your scenario and analyze at each step. You sold ATM puts and did not hedge your...
Depends.....what vol did you use to calculate your delta? If you bought the straddle because you felt IV was cheap and you were proven right once...
Don't ever do this if there is negative IV skew and the upside calls are dirt cheap. Overselling a bunch of cheap vol to finance the purchase of...
The reason it is not unlimited risk is because your max/min net delta is capped. Say you are long one straddle. Then in the right tail, your...
I delta hedge precisely because I am non-committal on direction and am trying to realize the implied/realized vol spread. I DO NOT delta hedge to...
Yes, you are absolutely right. By shorting 11 shares you are locally flat. It is the convexity of options that results in your delta changing...
"Thought I would share this trade with you guys. I expect GOOGL to have a pre-earnings rally." Why?
How are you arriving at your stop-loss and upside px targets?
You are living/trading in a fantasy world. You keep saying that all that matters is the underlying. That would only be true in a deterministic...
Think of it this way.....increases in implied vol mean those wings are more likely to soon become at-the-money as you realize vol and the...
Dude I'm officially done with this thread. You are just a straight up bizarre individual who is for whatever reason quite smug and cozy in...
What lack of understanding have I demonstrated? What hole have I dug? All you've done is state nonsense like Black-Scholes is a "basis" of an...
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