Recent content by Alex the Great

Why might a deep ITM call have a very low implied volatility? Don't deep in the money options tend to have a higher implied volatility due to the fear of extreme events?

Surely a lot of bonds are listed on exchanges and traded electronically. Everything about a bond is quantifiable and perfect for inputting into trading models. Why is high frequency/algorithmic trading not prevalent in fixed income? Or is it?

Haha I'm as clueless as him, but luckily not a senator. Let's say I want to buy a call and the market maker sells me one. This exposes the mm to unlimited risk so would they buy another call to hedge this risk? How do option market makers avoid getting stuck with a bunch of worthless...

It is my understanding that option writers and option buyers are matched through a clearing house. What then is the role of an "options market maker"? I'm having a difficult time understanding their job. Do they simply stand ready to buy or sell certain options when no one else will?

Why do lower interest rates result in higher commodity prices?

I'll get stuck paying for historical data feeds no matter what though, right?

Is there a way to automate a trading strategy without using any software that costs a monthly fee? So far, I've found TDAmeritrade's StrategyDesk. It is completely free.

But Velocity Futures tagline is: derivatives trading services for high volume traders. I am pretty much the opposite of a high volume trader. Is it still good?

I am looking to trade 1 YM contract back and forth all day. Which broker will be best for such a small trader?