Search results

In your opinion, would it be more sensical to scalp gamma on an index, currency, or commodity where there is more "noise", or a single underlying equity? It would appear on face value that an underlying with lots of noise would be better, and that trading as frequently as reasonably possible...

Follow-up: If you long a straddle and scalp with the underlying, what potential adjustments to you make to the straddle. Example: Do people often find it helpful to roll one side of the straddle in order to increase gamma? Do people frequently roll forward a position if they are...

haha, thanks. I'll try to work something up to see if its possible to manage on the ThinkorSwim desktop software.

Random thought: Have you ever come across anyone scalping two closely correlated instruments such as a long ETF and a short ETF? Is this even possible? Just looking to rid of the theta burn.

I scalp quite a few indexes and futures w/ option chains. Rule #1, While scalping may be nice and sometimes save your bacon, the principle vehicle of value in the trade is the long straddle. If you are long a straddle, you are long volatility. It is absolutely critical that you are...

I searched out Gamma scalp on here and someone was asking about scalping a short butterfly. Obviously, bad idea. So if that's a bad idea, is the reverse a good idea? Lets say you put a fly on 3-6 months out. Put the whole thing on above or below the money, not to pick a direction, but so...

I agree, I've seen this being done with GOOG before as they are rather consistent with their implied vol (or MMs working off old sheets) increasing - before crashing after earnings. I'll back test that when I get a moment and let you know how it turns.

Thanks for the great reply. At this point, my basic prospective is that this is a long vol trade, which if I'm wrong, the backup/profit lock plan ought to counteract my mistake. Over a number of occurrences, this may be true as much as the profitable trades outweigh the unprofitable...

Greetings all. Working on getting some long gamma/vol into my normal trade set. I've been looking at long synthetic or regular straddles. I would like to gamma scalp these, and my question is for those of you with experience in this area: have you found more success by trading the...

Clearly, we're better looking. ;)

While I cannot rationally endorse PutzMaster's methods, the real key to trading is getting 'your' method, as there are many which can lead to long run successes.

Lol, Radio write... yeah I've never heard of that one either! Darn auto spell check - ratio write my friends, ratio write.

It's that particular behavior I'm interested in. Now the options above the money are very very cheap as far as my perspective of the banks goes. There are somethings which could be better understood before we go any farther with this. 1) what underlying actually makes up these ETFs (I hear a...

Don't worry I do this all the time. At about 11:00PM i'll have the greatest trading idea ever, and then by 9:00 once i've had a night's rest and coffee, it's not so brilliant anymore. :)

what about doing a radio write or back ratio to go long both at the same time. If there is a major move in the overall market we'll see one of them rocket to the moon. What do you guys think?

Gotta say, June was great. I pulled everything off on Tuesday, but only in order to get into July faster while the vols are low.

Every pro option trader knows: you make money with options the same way they were originally intended for: you manage risk. (I know two full colons in one sentence is unusual.) You're either buying risk or selling it, but either way you're managing it, and if you are not understanding your...

has anyone worked a hedge between FAZ and FAS? I notice there is quite a bit of volume. Thanks

i didn't see if it was mentioned, but might want to try a diagonal play, substituting a ITM long call for the stock. Substitute with a call around .8 delta.

Do IB or Tradestation have decent back trading platforms? TOS is a bit behind the curve here at the moment and I would like to find something with basic visual analytics and at least a 1/2 hour by hour back trading feature which keeps an accurate P/L for multi-leg spreads. Any suggestions...