SPX Credit Spread Trader

Discussion in 'Journals' started by El OchoCinco, May 17, 2005.

  1. Sorry I should've made myself more clear. everyone here knows that I am a big derivatives advocate and many know that I've been throwing the BS flag on optionetics for quite some time. So you and I are in aggreement.

    I was just saying that the name dropping is one of the least misleading things that they do. They can say that Buffet uses options because he does, even though he professes not to. When it comes down to it, value investing benefits from the use of derivatives more than most other strategies. It would be a guess, but I would say that Cramer prob uses them too, despite what he says. He has a history of using options and I don't see the logic in not using them anymore. of course he is not going to promote the use of derivs on his show, because we would all critisize his wrecklessness.

    When it comes down to it, the guys at optionetics are tremendous salespeople/businessmen. I personally don't prefer to conduct business on those terms, but they have made a grip of money and I don't think Fontanills feels bad at all about all the money he's made from is half truths.

    Also, in regards to "Options Course":
    I would caution readers. Take it with a grain of salt and realize that it was written for a period like the tech bubble. During those times gamma scalping is really easy. My biggest problem with the book is that he oversells the strategies, and doesn't fully explain the PnL mechanics.
     
    #11451     Oct 28, 2006
  2. I read the book and while it was an easy read and had some interesting points I thought much of it was self ( optionetic's) promotion.

    As far as delta neutral TOS recommends delta "comfortable". As McMillian pointed out you can be delta, vega, everything neutral and not make money. You basically have to take on risk...directional or vol in order to make money.

    The TOS platform has helped me understand my "delta" risk. I was VERY long delta this summer and with the run up and gradually getting out of long positions my delta's are now negative. I know to get closer to "my"comfortable range I need to sell some puts(spreads) or buy some call(spreads) or stock. Pretty simple.
     
    #11452     Oct 28, 2006
  3. Since we're discussing options courses, has anyone taken Terry Haupt's course?
     
    #11453     Oct 28, 2006
  4. Isn't he the guy who crased and burned by writing 'covered calls' against a long LEAPS position? If yes, that tells you the value of his course.

    Mark
     
    #11454     Oct 28, 2006
  5. No... that's Terry Allen

     
    #11455     Oct 28, 2006
  6. qamhwr

    qamhwr

    Yes I have taken Terry's course and currently am participating in his TAP program.

    George
     
    #11456     Oct 29, 2006
  7. Anyone looking at the December SPX credit spreads yet?
     
    #11457     Oct 30, 2006
  8. DEC SPX spreads are 45 days out so they are on my radar. I would have liked to grab some NOV but never got filled on my limit orders.

    I may enter DECs and get out at NOV expiration if I can and then enter in JAN spreads through the end of the year to give me 2 potential cracks at the end of the year movement.
     
    #11458     Oct 30, 2006
  9. Can you comment on the course? Anything substantially different from what we're doing here? Is it worth the $4000?

     
    #11459     Oct 30, 2006
  10. How could any course be worth $4,000.... :confused:

     
    #11460     Oct 30, 2006