You were done way before you started. Is English your second language?? I used very basic option terms.. Vol,DTE,Interest,Strike,Price... You have only proved that you are too lazy to spend 5 seconds testing your theories with an option calculator... You are unteachable,and will never succeed at trading
I punt cheap calanders pre earnings,or really short term SPY,but have not found that Vega works in my favor.Could be due to placing upside bets,and the bsck vol always appears to get munched if I am lucky and the stock rallies.. I'm looking at short term vol vs long term vol at different HV and tend to agree with your assessment...
What @taowave said should become obvious if you read this and understand the denominator of the following: (he's got paper-thin skin though and won't see my post because he blocked me, lol)
SPY was kind enough to "assist"..You have blocked all the posters who are most helpful...except for me...
the SPX spends 90percent of the time in the term structure MrMuppet described. the spx spends 90percent of its life in upward term structure. Vega isn’t working for you or against you in any structure. gamma and theta are linked: you pay one and receive the other. Your view on gamma/theta and forward vol is what determines your position.
Totally irrelevant to what I was talking about. I blocked him for a reason and I knew I made the right decision. Anyway I already said you won. Infinite gamma does not exist. There. LOL No point arguing with people who don't really want to understand what I am talking about and instead just want to insist on a pricing model. Boy you are really persistent. You must've been a really great MM, insisting on the last penny until the retail trader on the other side caved and chased your offer/bid. LOL Why did you quit? Just curious.
Hey there,how wide apart are you talking..Im typically a couple weeks wide at the most.Are you talking months as in 3 -6 months? Im bringing up different maturity continuous vol charts vs Historical vol to see the structure...