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Binaries/digitals got a bad rep because of obvious reasons. They are exotic cash-or-nothing, asset-or-nothing options. There are trading strategies that require this kind of trade structure in order to function, so they provide usefulness and got place in the toolbox.

One may buy up a cheap public listed micro/nano stock. Like pink-sheets or what it is called and turn that company into mostly a trading/portfolio management business. Market price for the stock should reflect to some degree what is available in the company treasury I guess.

darwinex.com

Doesn't matter as long as you net out all legs to zero.

Credibility and background. Large institutions want to see that the manager got experience at related roles in the finance industry, at one or multiple firms. Maybe family offices and high net worth individuals are more lax.

Easy.. 1. Graduate from Yale or Harvard with an MBA 2. Work 5+ years for GS, MS, ML or JPM in New York until a VP 3. Leave and start Hedge Fund You see? a very simple process. Good luck

Hmm.. where does the risk end up? If you are short TSLA by short stock, synthetic short in the options market, net short single-stock future you carry infinite risk. Who does the company behind the ETF transfer that risk to? MM's in the option markets? they then transfer it on to someone else.

Well, the function was meant to work in the way that the local spot price of electricity would increase so much that they would turn of the miners due to it being economically unattractive to have them running. I guess they will turn em off if mining comes at a loss, don't you think?

Combining trading method/model probability with option structure probability How do one merge the probability numbers for these together into one combined probability? Lets say you got a model that give you the probability of 60% for the price to be higher than current spot and 40% probability...

Just looking at the candles/bars close-to-close I found out to work and is a simple solution. Multiple strong directional bars, like 3-5 followed by a weak "indecision" candle, with a narrow range to tell that directional momentum have slowed/vaned.

Did happen to my surprise. One time I did sell a CSP that went ITM in a highly volatile biotech daytrading stock and the counter-party did not deliver, they gave me $3700 for free. I expected to book a loss on the trade, but turned out to a win.

Index futures like ES, etc. got a built in cost-of-carry. The contract price will by time start to deviate more and more from spot SPX for each day that passes. If you are long the futures contract you pay this cost-of-carry interest. If you are short the contract you receive the interest.

There was a couple of +20% drops during that time that would have decimated a Call buyer and even more +10% declines.

Gold failed to deliver. It was supposed to be a hedge against inflation, but instead it's dropping like a rock.

Valid points. In reality both the legs of the short strangle are covered. The upper Call leg is covered by long term position in the index and the lower Put leg is covered by portfolio margin buying power. I will hold the strangle until expiration/cash settlement. If need to defend a leg I may...

To clarify I'm working on a strategy for selling 2-6 days DTE option strangles in equity index, SPX, NDX, R2K. What I'm looking for is to identify change from trending mode or momentum mode into consolidation mode. Yes, it's related to volatility. Tools/methods that can identify "stalling"...

What are good methods or tools to predict or measure the likelihood of side ways price movement X time units forward?

Would enter the limited risk leg(s) first and in the infinite risk leg(s) and the opposite then legging out of a structure. Otherwise you are exposing yourself to infinite risk and infinite loss. One do not want that. How you execute this is up to you, synthetics, structure offsetting, etc.

Depends trading style. A day trader with tight stops will require a lot less Eq than a swing trader with wide stops. You have to do the math yourself as it depends on ones strategy. The MNQ got a point size of $2, one does not need that much Eq to trade it.

It depends on your strategy's design. If the trades are fire-and-forget and zero-maintenance, one just leave them on the book to take care of it self. No monitoring or management needed. If the strategy's blueprint is to exit, roll or manage legs in advance then do that.