Sweet Bobby Chats with Tom Sosnoff at tastytrade

Discussion in 'Options' started by Sweet Bobby, Jul 22, 2022.

  1. Oh, there were a couple of decent moments in it - e.g., the reminder that tracking delta and theta in your port is not a bad way to manage it. Although the whole "pray to the gods of TastyTrade and obey their ways, and you too can become a billionaire!" thing felt kinda icky and obsequious.

    That's not to say that the ladder is generally a bad strategy - but the premise behind it is a bit murky without some detail. The best case scenario for it is for the market to drop roughly 1SD but not too much further than that; if that's not your view for that expiration, then using that strat makes no sense. If you think the market is going to rally, move sideways, or even drop slightly (i.e., less than 1SD), then all this would do by comparison to a simple short put is waste $10/50% of the premium on that debit spread.

    But more than that, short puts - the money driver here - are a strategy for a market that's trending up or sideways. Does that describe what's been happening this year to anyone here? At the very least, it seems like a classic case of "a day late and a dollar short".
     
    #21     Jul 23, 2022
  2. I did - in the (remote) hope of seeing you say something that made sense and that wasn't a rehash of the TastyTrade mantra of "sell puts for yummy, yummy credit". Didn't happen; you just kept mindlessly regurgitating the same old pap, and shilling for them despite the total inapplicability of it to the current market.

    On the other hand, it was rather hilarious - in a cringy sort of way. You confessed to being a total bumbling incompetent - taking money to teach finance from a publicly funded school without so much as knowing how to trade an option (I believe the legal term is misfeasance? Wonder if the dean, or maybe the DA, would be interested...) I'm going to guess that's not the first time, by far, that running your mouth put you in a precarious position.

    Maybe stop digging before it's too late?
     
    #22     Jul 23, 2022
  3. Uh, yeah.

    Your honor, the prosecution rests. :rolleyes::D:D:D
     
    #23     Jul 23, 2022
  4. Ah, the ignore button is a beautiful thing!
     
    #24     Jul 23, 2022
  5. Yes indeed - one of my favorite tools here. B-bye!
     
    #25     Jul 23, 2022
  6. SunTrader

    SunTrader

    As a small trader I never compare myself to how the market itself is doing.

    But if I did, being a trader that ummm trades both directions, I would hope to be better in a positive sense than the current $SPX's -16.88% drop.

    And not just be down less. Time waits for no one.
     
    #26     Jul 23, 2022
  7. Sweet Karen, when are you going to invite Desterio to speak to your investment class?
     
    #27     Jul 23, 2022
  8. MKTrader

    MKTrader

    Wait, what? He's been trading options for years. Check out his posts here or his Youtube channel (though his posts here go much further back). Also, since when did option trading become a prerequisite for teaching academic finance? I had a finance prof who confessed to never owning a stock, much less an option. I think he was into real estate. The vast majority of finance profs are random-walk, buy-and-hold types who don't trade any.

    Don't forget the Long-Term Capital Management guys were super respectable academic guys, some with Nobel Prizes if I remember correctly. They blew up a fund. Sweet Bobby has done a lot better than they have.
     
    #28     Jul 23, 2022
    Sweet Bobby likes this.
  9. I only invite reputable people, not scam artists.
     
    #29     Jul 23, 2022
  10. traider

    traider

    This is a joke right? LTCM leveraged using OPM. The key people retired as multi millionaires
    Sweet Bobby was trading with less than 100K
     
    #30     Jul 23, 2022