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I've been looking at the prices of some stuff and I think there is money to be made from an inefficiency in the market. Obviously I have to see how quickly this inefficiency becomes efficient. If the big guys whack the price back into place too quickly, than there is no point in me in making a...

Not if you ask most people outside of trading who think the markets are run by bots, young professors, algorithms, black boxes, and other buzz words.

Thanks! Just trying to figure out why insiders would buy even though the stock has been trending downwards.

I'm watching a stock and lots of insiders are buying. Yet the price keeps on going down, which rules out the possibility of insiders inflating the price. Is it time to buy since insiders are losing money but are still buying?

Referendum is most likely scrapped: http://finance.yahoo.com/news/Greek-PM-scraps-referendum-on-apf-1455838074.html

That too haha.

I don't have extra money right now to trade, I don't trade for a living, and my time horizon is longer than a day.

Forgot to add what I was thinking: Initially, leading up to that day, I was thinking about going long volatility using a straddle/strangle or something but obviously the premiums would be expensive. Now I'm thinking of making a play on the VIX and hedging some downside risk.

In anticipation of the Greek vote, what would your play be? Apparently, polls have said the Greeks will vote against it but I somewhat think that enough people will wrap their heads around the magnitude of a default and vote for the bail out. What is your opinion?

Maybe not a flash crash but the start of a huge decline? Nice job Nitro! Man I just hope the market keeps on going down and doesn't recover until after Nov 19. All my money is tied up till then.

Can you short sell these things? What's to prevent this from being just the next tulipmania.

Hello, I just started trading through a discount broker and was wondering: when is an order big enough to justify splitting up the order? Is there some sort of metric that takes into account factors such as shares outstanding and daily volume? I don't get to see any layerd bid/offer...

Yes

Ok, assume we have two options on two different underlying assets. Let's assume the time till expiration, implied volatility, interest rates, etc... are all the same. The only difference between the two options and underlyings are the strike price and price of the underlying. Let's assume...

Hey, thanks again for the response. I've read or actually skimmed (it was hard to absorb/understand everything) through Allen Baird's Market Making book, and he mentions that options traders do tend to stay delta neutral. He also mentions always staying vega positive. I was wondering if this...

Thanks so much for the response! I was actually interested in Options Market Making so this was really helpful, albeit confusing since I'm trying to learn this on my own. Could you tell me what a 'smart' market maker is? Also, I was wondering if you could tell me if my translation of your...

By -3/+3 do you mean that you are 3 points below the best bid and 3 points above the best offer?

During market making, when would you adjust the spread of your bid/offer? Obviously you adjust the price points of your bid/offers based on new market information, but when do you adjust the spread? Do you adjust the bid/offer spread when someone posts a spread that is narrower than yours...

Thanks for the responses.

Hello, I was wondering if someone can explain to me what x% implied volatility means. For example, this article uses it to talk about BAC: http://finance.yahoo.com/banking-budgeting/article/113376/options-trader-bet-big-bofa-barrons. I've always understood implied volatility to be the...