Dest's "Trade Against a Pro" Trading Challenge

Discussion in 'Journals' started by destriero, Dec 1, 2019.

  1. Overnight

    Overnight

    Asymmetrical butterfly. I only know the term, but not what the asymmetric bit means, because options are just weird.
     
    #141     Dec 11, 2019
  2. asymmetric butterfly, probably had higher lower strike, if he sold.
     
    #142     Dec 11, 2019
  3. destriero

    destriero

    231P fly or a 132C fly.
     
    #143     Dec 11, 2019
  4. Overnight

    Overnight

    OMG what the hell does that mean? 231 put fly vs a 132 call fly? On what instrument? What expiry? Options people are really out there. Well, dest is more out there than most, because he assumes that every reader of his writing knows what he is on about, on a subliminal level.

    I'm one of the slow ones, man.

     
    #144     Dec 11, 2019
  5. IT MEANS ITS MY STRUCTURAL EDGE
     
    #145     Dec 11, 2019
  6. Overnight

    Overnight

    OMG OK lol! 231...132...! I'm just electric companying it tonight man!
     
    #146     Dec 11, 2019
  7. Asymmetric as in not equal width one side is skewed
     
    #147     Dec 11, 2019
  8. Thanks Des.. got it
     
    #148     Dec 11, 2019
  9. You got it? What does that mean?
     
    #149     Dec 11, 2019
  10. yc47ib

    yc47ib

    Dest "bought 5 lots of" "231P fly or a 132C fly", "neutral to SPX 3130", so I assume for each lot, he bought 3 SPX 3130 puts, sold 1 lower strike puts, say 3110 or 3120, and sold 2 higher strike puts, say, 3150.

    Alternatively, he could have bought 3 SPX 3130 calls, sold 2 higher strike calls, say 3150, and sold 1 lower strike calls, say, 3120 or 3110.

    Am I correct @Dest?

    I usually sell the body and buy the wings, but since Dest said he bought, I am assuming he bought the body and sell the wings for a debit.

    I believe the edge is not in setting up these structures, it is in how one close/roll/convert in steps the different legs to finally flatten these structures that makes the profit.
     
    #150     Dec 11, 2019