Search results

Just recorded in Feb 2014, one-hour long: http://www.youtube.com/watch?&v=bE6UxXHXMR8

Makes sense with regard to its own futures curve and options. I was referring to opportunuties to spread against related markets. Unlike oil, where you have RB, HO, and Brent/WTI, nothing seems to correlate with NG. BTW ... point of trivia ... Brian Hunter, the Amaranth trader, was born in...

Between Amaranth and these latest closures, NatGas earns the "widowmaker" title. Not suprised because there is no good way to spread this market. Hard to find anything correlated outside its own term structure.

HURRAY!!! Thanks!

Baron, it was a missed opportunity when you revamped the site to create a new forum for Tax topics. I asked you about this a long time ago and you referred me to the Career forum. But it's a tedious exercise to wade through all the nonsense on that forum to find the tax threads. Taxes...

As U.S.-based futures traders already know, U.S.-regulated futures are considered "IRC 1256" contracts and are given more favorable 60/40 tax treatment. I was wondering if this same tax break is allowed for U.S. traders who trade foreign futures contracts. So what is "foreign" from the...

I don't know how she was trading six years ago. I was commenting on her interview last week and how she described her current trading strategy.

Agreed, well said. I've been following her interviews with great interest. When she rolls down a short put that went from 5D to 30D, she indicated they will sell two more puts at lower strikes. This is a quasi-martingale strategy. The recent bull market saved her.

The singularity effect is a great illustration of the concept you described. It's also a motivator to press on and realize the downstream benefits. Thanks as always.

I enjoy following this thread mostly as a lurker, but sometimes Mav says something that just stops me in my tracks and I have to chime in with a comment or question. If I'm trading spreads with a neutral approach, is it really worth the time and effort to try and time the market as a...

There's something about your handle that made me blink and shake my head :)

Happy New Year from a loyal lurker!

Great link for statistics-related topics. Thanks!

With the exception of market makers and high-freq traders, I thought almost all daytraders lose. Can you tell me which year(s) this happened?

When you say a "discount firm", do you mean a conventional retail brokerage, or a professional prop-style firm?

Interesting. Very few people are in a position to observe the raw P&L of a large group of traders. I always wanted to ask the same question to an accountant that specializes in preparing tax returns for traders, but I never had an opportunity. Mav, appreciate your insights, as always.

Mav, when you were managing a prop firm office, did you observe that the consistently profitable traders were trading on a daily (or higher) timeframe, and the daytraders were mostly net losers?

Basic risk management ... you need to have a hedge in place when you open your position. Something as simple as a short vertical spread is a quasi-hedge for black swan events since your loss is defined and limited to the difference between the strikes. Or you can open an intermarket...

When evaluating options platforms, you need to make a distinction between analysis and execution. And further distinctions in each category depending on your focus.

It's not calculus. The common formula is a measure of variance that falls in the domain of bayesian statistics. Yes, for the modified formula, n is trading periods. The link provides a description of each variable. They use logs, but I don't think you have to. You should be able to...