Recent content by Texas Johnny

Tastytrade.com Check that site out. It helped me.

Sysdevel99, now that's how you have a conversation. Thank you. I agree 100% with you that no one should drink anyone's kool aid. Whatever you hear, test it yourself. Regarding those traders who have blown up accounts (ie. Tom with Case's shorting nasdaq futures relentlessly), my question I...

If price doesn't move then what's the best strategy for playing a volatility move? The straddle. That's why TT used it. Why are people so hostile when confronted? It doesn't bother me but it sure bothers some. The idea is to help each other here.

I missed it, no worries. Yeah, TT was trying to play the volatility increase before earnings. As you know, when you buy a straddle you can make money when vol rises. This is what happens before an announcement. Then after it, the vol drops like a rock (no mention of price here, just vol)...

Iron chief, you are right. There are many ways to play this game. Some more points: The straddle that was sold by another member of this post showed a wide bid/ask spread in SPY. That makes sense as the trade is 6 months out. Not many players there. If you go 2 months out, it's a penny...

Ironchief, Glad to hear you are interested. To compare apples with apples, buy 100 shares of a liquid stock and compare it over time versus doing a 1 contract option play on the same stock, etf, etc. You choose. I suggest backtesting it first or paper trading it, but paper trading it will...

Selling premium mechanically works. I sell naked straddles systematically for a living, own account. I've been doing so for several years even through three market lock limit downs over night. It works. I backtested it before trading it live in 2012. The reason I'm on this forum is simple...

Good points by Stymie and DTB2, but I would still much rather sell premium than buy an underlying. IE. sell a PUT ATM every month. It will have a higher return with a lower standard deviation versus buying that particular stock and holding. Why? Premium / extrinsic value of the option...

How can you say that implied vol is not overstated versus actual? Where's your proof? There's plenty of proof proving otherwise, which Tastytrade advocates. Just check out some of those market measure segments. Personally, I've backtested it and trade it live (4+ years). It's how I make a...

Regarding your argument against selling options, I live off selling naked options especially strangles and straddles mechanically using the TT way on indexes. The results are based off of live money...not back testing data. I've been doing so since 2014. I have PM. What's the secret? I just...

The last interview on TT was about 6 weeks from the Oct 2014 debacle. She was up 11.5% net fees according to the interview. I can believe that as vol was low and selling strangles worked...until... Here's a good article that basically says leverage was her Achilles heel. See below...

Agreed.

I had to repost this...problem with my phone. The idea is to see if you can gain anything of value to help in your trading. If not, well, turn the channel. I sure don't gain much watching Bill Gross, George Soros, John Paulson, the Cohens, etc. They have definitely had their fair share of home...

A trader on a Sunday afternoon.