We actually use the Analysis Platform in ToS for our positions, but trade and use the power features of ThinkPipes to forcast. I know it sounds strange, but our investment club memebers use ToS retail platform, so it's much easier for them to understand and use..... but Thinkpipes has some features not found on ToS... and probably not in the interest of the retail trader. Thnkpipes analysis part is a bit overwhelming.... but the two are very similar. We prefer using the two in conjunction..... it works best for our clients and club memebers Murray
We prefer trading the NDX.... 1. Like the liquidity 2. Tight spreads considering the strike price 3. Traded electronically and floor 4. Cost effective because of the price / contract ratio as compared to the RUT 5. Premium tends to be better... and we're premium sellers We also hedge in OIH..... it has opposing volatility, great premium, less liquod (but still enough), and has a low correlation to the NDX. Works awesome as a hedge for our trading positions. In the past 65 trading days...... with the market making new highs and also experiencing a dramatic pullback.... we've experienced 5 small losing days using the combination of NDX & OIH in our premium selling strategy. Profits have been well above expectations. More time may tell differently... Murray
It does what ToS does... as far as analyzing into the future and at multiple strikes... but with ToS.. you need to adjust the time (which is a click on the month calendar).... or use the price slices to see the GREEKs.... but with ThinkPipes.... it is all infront of you all the time. You can set the strikes and time frame both together and see all the GREEKs now. The Level II volume indicators is nice.... Multiple analysis screens is nice... detach & drop screens feature is quick and handy... Trade tab shows your current positions as you scroll through strikes... simlar to ToS Of course there some drawbacks.... ease of use... trade entries are a bit more limited.... ie, vetical, calendar, single, butterfly... not quite as nice as ToS. It's all in the learning curve.... for 95% of the traders... the ToS platform is the choice..... but the order routing is definitely quicker on ThinkPipes. M~
Not intending to hijack this thread but does anyone using TOS know if TOS provides access to future options now? I called them about 2 months ago and they told me they're working on it and it should be available soon. They can't tell me the ETA though.
No they don't. I wouldn't hold my breath; their clearing firm does not even handle futures options yet. I am sure they will eventually get them but the time frames they give out are always overly optimistic.
Got filled today on the following: August SPX 1550/1560 bear call spread at $0.70. Haven't followed the thread or traded in about 4 months, but it looks like people (even Coach) are starting to gravitate towards the NDX. I always thought the NDX was too volatile. But maybe not?
I also find the OIH as a nice balance to the RUT. NDX is abit steep for me at the present. Just curious, do you use multiple strategies on low vs high volty? Or do you pretty much stick with one strategy. The voly change over the past week has been rather interesting.
We use the same strategy as the OIH and NDX have a weak correlation. What we've found interesting is the premium differences.... but with that difference comes RISK. Even so, they work nicely to Hedge against each other. Our OIH positions are up 130% ytd on margin, where as our NDX is up 30% ytd on margin. Our funds are appropriated 1:2 ratio.... OIH:NDX. I say margin... because we trade and profit from the margin used... which is our account size. We could leverage much higher, but at this time.. we feel comfortable at this debt ratio. It does leverage against a retail account about 5:1. Thus, selling premium at a 5:1 ration... allows us to profit fives greater in decay with the HairCut account vs. the retail. And, since you can take in so much more THETA, you can use this to provide upside as well as downside protection. For Example: The recent pull back exploded VEGA.... we sold NDX OTM calls into the sell off. With yesterdays move up and todays consolidation, the short calls bled huge profits... ie, (5%) while the downside move the last week provided had no effect on our DELTA neutral positon. With gamma near zero... and Delta slightly negative... the downside is completely protected.. in fact, profitable. The Vega drain.... really what we're looking for. Now.. without the HC, or downside ... it would have been a huge profit..... but you must be prudent to protect your capital.... so we spend profits to nuetralize the risk when needed. So, from a capital preservation approach.... we never put the capital at risk.... and allow THETA to cover the DELTA move in either direction. Consolidation days... are very rewarding. Movement days... nuetralize each other over time. HOpe this helps.. M~