Destriero - Butterfly Trades

Discussion in 'Options' started by ironchef, Dec 11, 2020.

  1. .sigma

    .sigma

    Iron nice trades!

    and @qlai i have hundreds of books on options/trading and I’ve noticed when it comes to fly spreads a lot of books OMIT this options strategy. It amazes me, the book will have an entire chapter on synthetics... and talk about all the different types, yet not a glint of mention of the fly. Baffles me because IMO the fly is more important than most option strategies.

    there’s only a few books that I’ve seen that really break down how to trade the fly, and even those books don’t go too deep into it.
     
    #191     Jan 10, 2021
    ironchef likes this.
  2. .sigma

    .sigma

    this is not true. Dest has traded many directional flies. In fact, almost all of his flies are a prediction of price @ time.. implicitly a delta trade in vol. Hence, the reason he constantly ratio’ed and broke the wings.
     
    #192     Jan 10, 2021
    BlueWaterSailor likes this.
  3. I am merely observing and limited to paper trading options at the moment due to current employment, but this thread is very helpful and educational. Thanks for posting these trades, I can understand them easily. I always struggled following dest's trades.
     
    #193     Jan 10, 2021
    .sigma likes this.
  4. ironchef

    ironchef

    Nice trades because I didn't post my losers. :vomit:

    You are right, I noticed many directionals in his trades. But he and the pros here like 132/231 types rather than the garden verity 121 that we amateurs traded.
     
    #194     Jan 10, 2021
    .sigma likes this.
  5. ironchef

    ironchef

    His post were like Greek to me too. Even to this day, I have great difficulties understanding his posts. Too many shorthands and acronyms for this poor retail to understand.
     
    #195     Jan 10, 2021
  6. .sigma

    .sigma

    but remember, dest also trades a lot of 121’s. There’s nothing wrong with 121, but to take advantage of the skew the 132/231 is sometimes a better option.

    121’s are symmetrical but CAN be directional if placed OTM
     
    #196     Jan 10, 2021
  7. Marcelino

    Marcelino

    You may be right, but I'm not wrong either. I had this in mind, true, kind of old. He said:
    "directional is totally antithetical to my personal God... I'm always directionally-agnostic"

    from this thread:
    https://www.elitetrader.com/et/threads/mavs-verticals.24887/page-7#post-398503
     
    #197     Jan 10, 2021
    .sigma likes this.
  8. .sigma

    .sigma

    yeah, and he obviously evolved his strategies over time. He recently posted (in this thread I think) about moving his expirations to the monthly cycle, instead of weeklies. He didn’t clarify if this meant for fly spreads, but yeah Dest trades it all
     
    #198     Jan 10, 2021
    ITM_Latino and ironchef like this.
  9. #199     Jan 10, 2021
    ITM_Latino, ironchef and .sigma like this.
  10. ironchef

    ironchef

    Me too. :D
     
    #200     Jan 11, 2021