Is iv skew the result of an error in the Black-Scholes model...

Discussion in 'Options' started by markuzick, Aug 13, 2015.

  1. Predicting the future and discovering a fair price to assign to risk are two completely different endeavors.
     
    #61     Aug 16, 2015
  2. rmorse

    rmorse Sponsor

    Sorry, I don't have blanket responses to trading questions that will not depend on current market conditions or will be the "best" answer that fits every trader. In fact, I was never a naked option seller or credit spread seller. I made markets to current market conditions, current prices and supply/demand. I rarely came in to trade with an agenda.
     
    #62     Aug 16, 2015
    Gambit likes this.
  3. Know your weapons..... In some situations an otm call will do better then a short put....this is the beautiful part of options a taylored expression to your desire
     
    #63     Aug 16, 2015
  4. Gambit

    Gambit

    Lots of useful info from rmorse, longthewings and minmike. Thanks for the contribution.
     
    #64     Aug 17, 2015