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Hi all, as per title.. I would like to ask your enlightened opinion about the best structures to use when the skew is as flat as a surf board. I was thinking about 1-2-1 symmetric flies, or the iron equivalent. Is there anything more creative than that?

because gamma is already at its maximum there, and it's sloping down while moving outwards. Anyway, far from me the idea of suggesting doing this without considering all the various risk implications.

I would say there is nothing inherently bad in selling premium, however one must first know the associated risks.. on top of that, I'd rather short a straddle or a narrow strangle rather than the far away wings

@destriero @dozu888 why don't you guys solve your differences with one of those old school trading competitions?

My 2 cents: 1)Do not buy courses (especially DO NOT buy courses from Jeff Bishop lol), buy books instead. Natenberg, Sinclair, Baird, Cottle, Hull, McMillan these are the names that you will constantly see popping up in these forums, and for a good reason. 2)Do not believe anybody telling that...

A noob question from someone who never traded futures: how do you deal with all the algos and the spoofing? How can you read the tape through so many layers of deception? It is my understanding that in modern markets it's almost impossible to trade the order flow (as a human).

Jeff Bishop looks cool, flies in his private jet, got a nirvana t-shirt and smokes cigar. Are these reasons not enough to subscribe?

My math is high school level, and I could understand it. Of course I had to take notes and read some passages N times, but I can confirm that it is doable if you are willing to put the effort.

euan sinclair - trading volatility: a very good book, not too simple and not too technical either

Everyone uses BSM just because it became the de-facto "official standard" for option lingo and its strengths and especially its weaknesses are well known. There are many alternative models that try to plug the holes in the BSM model. For instance Corrado-su introduces skew and kurtosis...

Now the source of the problem is clear.. to be honest, in the past I have been a big proponent of openoffice, but when you want to do more advanced stuff excel is sooo convenient. I'm not sure about the latest open office distros, however the one I used in the past for sure did not have any of...

Let's say that I was long a strangle because I expected some huge movement, and that actually the movement happened. The original strangle was around 16 delta on both sides. After the big move, one side is making money and is now at 30 delta, while the other side is losing a bit, and is around...

Beyond any issue with the general public and the SEC, I think that a CEO would get a lot of heat from the board for doing anything that could be perceived as a bet against the company.

@tommcginnis ahaha.. actually the color was the easiest part.. there is an automatic feature in excel to do the blend effect. I just set blue-20 vol green-30 vol and red 40 vol and voila'.. are you by any chance still using excel 2003? :sneaky: @jamesbp sure.. pm me your mail address, but...

After watching those videos I became really afraid of the IV surface.

ITS A-LIVE!! A big thanks to @jamesbp, @newwurldmn and @Matt_ORATS for their input. Now however comes the hardest part. How do I use it in a meaningful/productive way? So far that's what I'm doing: 1-I created a parallel table where I keep the trailing averages of the vols for the past...

Does it come bundled with your strategy for predicting direction and vol? In that case I might consider it..

In my opinion, the biggest issue is that backtesting this kind of strategies only shows you half of the picture. Yes, after modeling all the additional rules and caveats you might even have positive expectancy BUT when the market goes against you and you are staring down into the abyss, do...

The general consensus seems to be that you should give yourself some safety margin, so if you expect the move within one week its advisable to go further out in time. Once again, be wary to take advice from an option noob like myself.

I used to watch tons of TT videos those days (believing I was educating myself, ahaha).. Sosnoff for sure said it more than once, probably it was also in the section "Mike and his whiteboard". Edit: as for following their own rules, nobody knows.. I guess they make most of their money on...