Options Automated System

Discussion in 'Options' started by TheCaymanIsland, Dec 1, 2008.

  1. Hey guys, hopefully someone knows. I have an options mm automated system and I'm having trouble capturing all my perceived edge because of "delta adverse selection." I hedge the trades right after the option trade but cannot always get my hedge off at the price I desire.

    So my question is: Any ideas and/or suggestions about how to deal with this?

  2. dmo


    What automated system are you using? A good one should allow you specify that, for example, it buys calls only to the extent that your hedge is bid at your price - guaranteeing that you'll be able to get your hedge off at your price.