Options are almost always too expensive. that's why selling them tends to be profitable
IEF, the 10 year bond, pays about a 2% yield. Does this mean TYO , the 3x inverse 10 year bond etf, will decay 6% a year just from the dividends?...
Although August shows it down 7% that is only and end-of-month figure. It is possible they may have been down 30% at one point. Nevermind. This...
yeah they are taking huge potential risk to get a high sharpe. One problem with sharpe is that is not not take into account path dependence. You...
I find even delta 4-5 options move to much to underlying movement. Selling delta 2 puts seems better. Calls give too little to woth selling, and...
relevant: https://www.reddit.com/r/options/comments/4kq9al/option_strategy_review_global_sigma/ they sell delta 5 weeklies.
how about selling a ton of ATM strangles that expire in 200-300 days. This market isn't going anywhere I don't think anyone really understands...
He said to sell ATM strangles ..seems like good advice given that this market seem intent on going nowhere .
I wonder why Victor did not blow up in 1987?... I think 'edge' is just another word for having a unique strategy. Like shorting UWTI and going...
christ ..it goes from delta 4 to 17 in a single day? And then delta 28 a few days later...
Mav, the size of the drop does not matter, it's the acceleration . The 2000-2003 bear market was actually good for deep out of money money sellers...
lol I know who it is...he sued the CME too Some people are posting about delta exploding from 4 to 40...I don't think it's quite that bad, nor do...
All tests I run show good results with selling strategies, except for august , which has losses of 11k-16k for selling 50 SPY contracts and...
such events are very rare. I have begun doing this a month ago so I woudn't know but I imagine it would be bad. In such an event, after the market...
very easy money. Up on all positions despite market falling 3% in the past month One strategy is to to sell puts while delta heding by shorting...
I know how an order book works. You can get filled between the quoted bid and ask. TOS makes money from those who think you can't or who are...
I know how limit orders work but a few times I forgot to set the limit order due being in a hurry or being tired and got the awful default fill....
I can make a video or show a screenshot of it . When selling an option, for example, TOS may shows something like Nat 11.8 bid and 13.1 Ask . When...
It's not honoring the best price. Imagine you are not paying close attention when you close the order (which happened to me a few times) and the...
If you see a quote like bid $4 and ask $5 and you buy the option at $5 (which is where the system defaults) if will get executed at $5 even though...
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