Search results

Let me give a summary of what the heck I am talking about on this thread: 1. My trading plan uses calendars for income trading. I normally go 45 to 60 days out. 2. Assuming I am bullish on a particular market (RUT), I place the calendar above the market. 3. To protect myself on the...

If my comments are not useful to you, may I suggest that you put me on the ignore list, as I have done this with you.

Oops. It was late at night.

I know this sounds arrogant, but I think this will have at least a small influence on option trading in the future. I have never seen nor heard this stuff taught anywhere, and I think it is a very profitable and low risk way of trading. But what do I know about such stuff. I am just a...

There seems to be alot of people following this thread, so let's talk some more. 1. Hedging theta risk. For those who don't know what this means, it is the risk that volatility will change. Calendars are theta positive, so a decrease in volty is bad, and an increase is good. Now, a...

FWIW, the IBM calendar and vertical shows this morning about a one cent profit, or breakeven. The RUT is approaching $3. I have three other positions which have about $1, so about $4 total. To put this into context, the RUT is the largest position in my portfolio and less than $5k in...

"self-taught" May I suggest that you check out CBOE.com, and optionplanet. Free and low cost training.

I am talking about two *******DIFFERENT****** positions. The RUT and the IBM. I really am trying to be polite, but I am not your mother, and I am not interested in spoon feeding you. Go back and read my posts.

Buy a call in Goog. 1. If it goes up, sell. 2. If it goes down, don't buy it in the first place. (credit to Will Rogers for a guaranteed trading plan)

As I said, I had taken off the vertical from the RUT, and a day or so later it moved sharply down. But, because of the positioning of the calendar (at 740), it was making money. Yesterday it dropped some more, putting the entire position at risk. So, I looked at placing the double...

This thread is for those traders who use the Iron Condor, and Calendars, Fly, etc. This is a means to adjust the calendar without adding a second one (double calendar). I am also looking at it where I may be able to place a calendar in a high volty environment, because the vertical hedges...

Who are you talking to? Why don't you open a thread on directional trading. My trading is based on theta, and market movement is my enemy. This position is to hedge the calendar against severe down moves until theta makes it profitable. My calendars are protected, thankyouverymuch, and I...

1. I said this was a test position. 2. Today it is around break-even, the same as when I placed the trade. So, the market has made a major move down and you are complaining. I shudda made some magical adjustments and I would be "rolling in money". You are simply amazing. 3. Without...

Sometimes the market is "irrational" and we get killed. I look very closely to risk reward when I place the trade. But that depends on your trading style == high risk vs conservative.

Option prices are affected by price movement AND implied volatility. So, if the market moved and no change in price.... volty. Also the market can stand still, and the option price changes.... volty.

You might also look at sierra chart. http://www.sierrachart.com/index.php?file=data.php

Go to cboe.com and look at the free webinars and training materials. Don't waste your money. Also, start small, just one or two contracts until you learn how to be profitable -- at least 6 months to a year.

You cannot trade futures in an IRA at TOS, but they are working on getting rid of that restriction.

I would spend time looking at cboe.com, dan sheridan's webinars. He goes into great detail. Basically you get out at certain yield or loss points, or one week before expiration. The whole issue of adjustments is a major part of this strategy. He prefers a second (double) calendar, but I...

An update on the IBM position after the big bear move. It is doing well. The loss curve at this point is very flat for a continued down move, while a up move brings me profit. I can pretty much leave it alone. I got chicken on my RUT, when it started going up, and got out of the...