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They they are def. giving bad fills. Now I know why. Swabb will fill in increments of one cent. TOS is in increments of 5 cents of 10 unless the option is below $2. I know this because I tested it. TOS will show something like BID 3.3 ASK 3.9 and when placing the order it will always get...

the pros collect fees..that's where the money is reallly made

It seems like most option strategies suck...either you make money slowly and lose a lot at once - or you lose money slowly and possibly make a lot at once but usually don't. most option strategies are doomed by overuse of leverage. but here is one with a 40% CAGR since 2009...

With Shwabb I can buy at market and always get good fills, which means faster trading and more profit ; with TOS I had to constantly adjust the price to avoid getting ripped off...the irony is that Swabb, which is not marketed to traders but for retirees, is better than the company that is

second one on swabb. single contract

update: Last week I switched to swabb...much better fills. They may not have a high tech trading platform but it beats bad fill any day. TOS is a joke stay away . I think they have a deal with the market markets to give bad fills and split the profits. As an experiment I had a friend place a...

maybe you should create a trading journal instead of cluttering up this forum instead

I guess the problem is some people is the risk to reward may not be that great . Long SPY (including dividends) gives almost the same total returns as these option strategies, but without the large risk from selling naked options

But if you're only selling 10 puts for every 50 calls it will be a problem if prices keep going up . I remember a long time ago selling a strangle and when the call part got very close to in the money, the losses got big fast.

I am predicting it will go down but I don't want to be hosed too badly it goes up more

Your whole post, while very informative and helpful, the method seems hard and too complicated. Just short SPXU and some TMV. 30 to 50 percent annual returns. Selling calls can be very nerve racking because you get very little margin of error due to the bias of the skew, whereas put options...

Sigh..what is a good option strategy then that takes advantage of high IV and does not involve disproportionate risk. Straddles, wide credits, etc

All of the puts I sold weeks ago that haven't yet expired have surged in value. Selling weekly ES puts that expire at 1700 for $60/contract seems too good to be true . 16% crash in one week? berry unlikely That means the market has to fall 66 pts a day for the whole week

FOMC was last week

Vega risk..yeah that's a big one. I was not aware of that until I ran the numbers and saw that the leaps lose a lot of money. Crap. I'm using getvolatility.com to simulate trades

according to the simulator using august results when the vix did get close to 60, the SPY 190, the contract would get as high as 25, which is still pretty bad A test with UVXY using similar august parameters also shows large losses

well then I guess I need more time :)

those are some of mine

given the strikes, they will be worthless long before 5 months , so I'l close them before then . Admittedly, it's probably not a great trade. I'm combining this with shorting SPY to keep the deltas neutral, so there is a pretty wide range of potential profit. The market could fall 5% and I'll...

The IV on these is very high...something like 50 According to the simulator I use, The low was 40 a couple weeks ago. the high was 60 in august