Pure IV Play

Discussion in 'Options' started by frostengine, Dec 6, 2016.

  1. Who said anything about forward-starting? For that matter, where/how do you suggest a retail investor trade them?
     
    #11     Dec 6, 2016
  2. newwurldmn

    newwurldmn

    he asked for pure volatility (ie no gamma). Sle is right. a parrellel shift on the surface will cause the forward var to profit/lose.

    I think sle assumed the OP was the director of a Hamilton based firm like yourself who happens to trade VRX options everyday.
     
    #12     Dec 6, 2016
  3. Well, when I have time I'll read a book about Warren Buffett so I can reach your elevated level of enlightenment...
     
    #13     Dec 6, 2016
  4. newwurldmn

    newwurldmn

    It might help you.
     
    #14     Dec 6, 2016
  5. well put.. i agree with this guy
     
    #15     Dec 6, 2016
  6. Gimpyron

    Gimpyron

    Why dont you use old school calendar spread?
    while trading VIX futures it might be hard to "roll-over" and increase in size (in order to gain what have been lost), trading calendars on SPY or IWM slightly out of the money seems right (price falls, you gain vega + abit of delta- theta positive).
    Most important, you can roll and increase size more easily (much more).
     
    #16     Dec 7, 2016