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MTE, It was my understanding that Lambda was measuring the % move of the option for a 1% move in volatility. Am I wrong? I do use the "Analyze" tab for risk management as well. Great tool, but I wanted to find out if there was something faster.

I don't think you understood my question. My goal is to be able to calculate my potential loss (depending on my stop) before I enter a trade and keep this potential loss the same for all trades. If I know that for example my stop is when I have a 2% loss in the stock, then if I know what it...

So, no one can help me with this? Seems like a % move would be more relevant than a $ move.

My broker is thinkorswim. Would be great if someone knows how to get this information with their software.

Delta tells you how much your option will move for each $1 move in the stock. Is there an indicator that tells you the % move of your option depending on the % of the stock? I know we could just divide delta by stock price etc..but I was wondering if there was an easy and fast way to get...

I di not know much about Steven Cohen, so did a little bit of research and found this: http://www.businessweek.com/magazine/content/03_29/b3842001_mz001.htm Very interesting. Not sure though that I want to fight against these kind of guys and try to make sense of everything that happens in...

Aus-spider, This is very interesting. I suppose you mean that you hedge with OTM options, right? And you do this so that your stop is not "too far". In that case, why don't you just trade smaller sizes? Calculate how much you want to risk on one trade, set your stop and then calculate your...

Cashmoney, Please look at the charts I talked about. Take AAPL for the last 2-3 years and look at the strategy I talked about. Look at SPY, NVDA, CELG, just pick one. In fact MAs have been scientifically proven as the most efficient trading strategy. Saying "they always work in trending...

Some great comments. It is certainly true in fact that I was wrong and holding longer time frames requires more experience, certainly more discipline to be able to stay in the trade when some profits disapear. But why is it so difficult? We should be able to do it exactly as we are doing it for...

Sorry if I was not clear, I did not mean to say that i would keep the trade open for a couple months. What I mean is that my sytem would allow me to do it if I need to. I totally agree with you on the fact that you should never predict where the market is going and just listen to it and react...

I agree with some of your points. But I don't think that necessarily trend following means being more patient. Some of the daytraders I know consider themselves "trend followers", they follow the trend on the 1 min chart. Yes, holding for a longer period will mean seeing your portfolio...

Great article, thank you. If you look at Schwager's wizards books, you will notice that daytraders are very rare, and some of the traders he interviewed hold trades for years sometimes. But amazingly, if you read messages on this board, you will notice that at least 80% are daytraders...

Maybe I should be more specific. By "longer time frame", I mean holding at least a couple of months, trading with the weekly chart for example. Trends seem to be much easier to trade on the weekly, using MAs crossovers for example. Pull a weekly chart of AAPL for example and you'll see what I...

I was wondering if anyone here is succesfully trading longer time frames. I have noticed that traders usually trade shorter and shorter time frames as they become more experienced and very often become daytraders. The main excuse is "eliminating overnight risk" but I wonder how much of it is...

yes, I use strategy scanner as well (Yes, I also have a OXPS account), but I find it useless, with most of the recommendations not fitting my trading style. Maybe it is better for traders who use options for hedging. Also, saying "somewhat bullish" is not very precise. A target price would be...

WOW, this is great. Thanks again for pointing at it, you have no idea how much this is going to help my trading. I am going to create a spreadsheet that does exactly what I need.

Thank you for your help. I did not know about the option to export data from Think or Swim to Excell in real-time. I will look into it. I have some very strict rules regarding trades of equities. I never risk more than 0.5% of my portfolio per trade. I calculate my position size depending on my...

I looked at these tools before, but did not find anything more than TOS in there. But you are right, maybe I should just use them to create my own spreadsheet. I was just wondering if there was a program already on the market that does this. With these tools, do you get real-time data?

What "options pricing model" do you recommend that would take "risk" as an entry and calculate position size? Thank you. I am already using pricing models to find the options I want to buy depending on delta, IV etc. but I need something that would automate this research especially for when I...

I really don't need the attitude, I just asked a question. Of course I have been considering the greeks on all trades I enter. What am I asking is if there is a software that would automate this and calculate the optimal position size. You answered that it was called an 'options pricing"...