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Oh, OK I see where the coin is not dropping... hahaha now explain derivative from an aspect not related to finance, just keep in mind that the term and the concept predates finance, and the financial application of it is, wait for it... "DERIVED" from original use. Now go on and make another...

What is the definition of derivative to you?

I was not sure, but now am convinced that you have not at all understood the original post, and I just got dragged in the mud wrestling with you :(...

Checked the data again, its actually from Feb 1971, so roughly 50 years and not 60, but exactly what do you mean data on SPX vol? I have a feeling that you would get raging mad if it was pointed out to you that SPX is a derivative of the continuous Futures contract on the S&P 500, and there are...

Mean: 0,03% Standard Deviation: 1,09% Median: 0,05% Kurtosis: 25,29 Skewness: -1,05 Minimum: -22,90% Maximum: 10,96% Above based on 60 years daily data, so, do I think it is? ;) haha, to be explicit no!

You are selling Cauchy (there are others too of course, but he is the meanest MF'er) and getting paid Gauss, options selling is all about comprehending that and working out when it is favourable to take the trade/risk and when to refrain,..., I want to know how many of you fine option traders...

good one! hahaha, I liked it even more as it was from one of my absolute all-time favorite movies :).

You may wanna also have a look at the, Dumas, Fleming and Whaley paper. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=7373

How much headache (sorry, capital) are you looking to get? In my view having traded for 12 years at a prop shop should have equipped you with a well stocked personal account to fund yourself and trade all for yourself, or? Of course there are always personal tragedies (divorce, illness, idiot...

My last cents on this topic, and then I will leave this discussion :). Mike fundamentally short strangles are the basis of 80% of all premium-selling ideas; in one way or another, you can ratio it in complex combos by owning the closer strikes and being naked short on far-out strikes and build...

You listed a good list of general trading/housekeeping items for anyone to keep in mind, provided it is tweaked for the appropriate asset class. However, I didn't see anything on what pre-trade analysis you do when picking those strikes for the intended underlying? Going merely based on delta...

Thanks for your answers, I am just going to take the risk of making a fool of myself by saying you are quite new to options and did a pure directional bet on the underlying hoping that your directional bet would pay off and you wouldn't need to fork out the full amount for buying the underlying...

Can you explain a bit more what we are considering here... "losing deep ITM" so are we looking at it from the buyer's perspective, the buyer has purchased an option with, say, delta above 80, and now the delta is at 70, so the said options have lost 10 deltas? If you can bear with me, I will...

working now! Had issues with them as well, but active now.

This business is no different than any other, or the fall of the events of a large number of events is no different than any other. In a selection of 100 randomly chosen people, 99 would say they are among the top, that is statistically verifiable top performers, the extreme version of Kruger...

Possible to make it independent of a specific data provider/platform.

Very sincere and honest question to you, what do you think a market maker is and what is their business model? I am quite certain that in the process of answering my questions you will find the weak point in your question and agree that they are not speculators with the hedge fund type business...

Which category, Retail, Institutional? Which asset class, Equities, Derivatives, Fixed Income/Rates... You should get the idea now that it is extremely fragmented. Add on top of it the regional differences and local providers, Japan, Mainland China, Russia etc...

It will not be simple to come back from a 66% loss, but hopefully it was money that he can live without and was suppose to be used as education material :)

Net Liquidation figure is what will be left in the account after all the positions have been unwinded. as you are "asking for a friend" tell him that he has a unrealised loss of 16.65K, so after taking this loss and closing out the positions "he/you/the clown" will be having 5.709K around in the...