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I use Interactive Brokers. I have periods of "idleness." Questions is: How to best generate risk free return while being "idle?" Short term T bills? Price may fluctuate before maturity and you may want to get into gear before maturity. CD? the Fed is determined to push savers. Comments?

It is a glorified casino bet, pure and simple. There are various quant book descriptions, but since the outcome is either-or, and since the currency market is the playing ground for major institutions, binary options for retail investors are no better than throwing dice. Another analogy: small...

Low premium, high risk, less time to "GET ME OUT!"

Try FX binary options.

You can use any strategy in any market condition. There is no correlation among strategies, market conditions, and outcome. It is true that "you can trade spreads in any market conditions," but it is not true that "you can trade spreads in any market conditions AND HAVE POSITIVE OUTCOMES." You...

There are various discussions in quant books.

His "all-star" strategy is vertical spreads, but if you consider it carefully, vertical spreads have negative expectancy. All option strategies are well known to traders. A strategy, like a piece of chess, gives you no inherent advantage; when used appropriately, a pawn can checkmate your...

Sure want to do that? You are ITM short call. Adverse price move can easily crush your gain in volatility.

This website has lots of useful info, sometimes better than reading books. Does ET offer downloadable archive for a fee?

Hello: I find it harder to get fills if I trade spreads as single order on IB, but if I leg in, the fills are almost instantaneous. One advantage with single order spread is that you get the legs to be margined correctly. The commissions are the same whether I leg in or enter the spread...

The mathematical elegance in Black Scholes model certainly can be appreciated. But be mindful of the arrogance of the attempt of any quantitative equations designed to tame risk and the market. Unless human behavior can be tamed, no equations are simple enough; and when the equations are simple...

I have been looking at the charts of various markets up to the 1980s. At that time, S&P was still in the hundreds. What I have observed is that the overall volatility seems less (only observation, not quantity). It may affect risk management. Comments?

The socialist in Washington is building a welfare state that Milton Friedman advocated against. The end for the Great American Empire has been accelerating. Washington will foster indolence and dependence.

This group has many math nuts, so I thought I'll post it here too. A mathematical consequence of debt-based fractional reserve monetary system is that inflation and money supply will grow exponentially, even if this exponential growth rate is "small." As time is infinite, borrowing from the...

A mathematical consequence of debt-based fractional reserve monetary system is that inflation and money supply will grow exponentially, even if this exponential growth rate is "small." As time is infinite, borrowing from the future is also infinite (You can always borrow from generations farther...

IB doesn't specifically mention the margin requirement for short calendars, but I imagine it is the same as short calls or puts. http://www.interactivebrokers.com/en/p.php?f=margin Comments?

Hey spindr0, you in the Bay Area? In medicine? Me too! I am also known as TimeCorrosion.