Search results

I used a similiar strategy in January. I wrote a slightly ITM put and sold a s&p 500 emini. Put on the trade the day before Martin Luther King's birthday. Of course, I did not know how to manage it. The max profit is received if the futures plummet, which they did on MLK' b-day. Of course...

Still here. I took a break from the small losses I took with June and July straddles. I am taking a look at improved entry points and staggering my straddles, not just placing them all at one time and necesarily around each expiration day. So, I am paper trading the next couple of months to...

I am holding the 2x P1420/C1420. I had to let go the 1x P1425/C1425, for I wasn't able to watch it on Wednesday. As always, I exited it at the bottom on Tuesday before the ES recovered a little--loss was 6.6% return on margin. If I kept the trade alive, then it would be profitable as of...

For ES FOP's, the brokers mark to the SP FOP's for accounting and margin purposes. So, the last trade for the ES FOP's is rarely the mark price. I use the Mark price to valuate my trades.

Week 2 results. Recap: single contract short straddle P1425/C1425; Return on Margin to-date: 6.25%. Two contract short straddle P1420/C1420; Return on Margin to-date: 9.00%. Returns on margin are different, for I am using two different brokers, one of which has higher margin requirements...

Just to compare apples to apples, we need to report our profit/loss as return on margin. I forgot to do this last week; I will try to remember to it this weekend. Newguy, I appreciate your results, but without knowing your return on margin, I can't compare it to my results. Anyway, I will try...

Yes, I look at daily movement of the VIX, and I only use BB as a guide. Used to use stochastics, but for the purposes of looking at the VIX (remember, it isn't traded), I just use BB. I am looking at the general trend.

June Trades: 1 contact short straddle P1425/C1425. This trade is -$650.00. 2 contract short straddle P1420/C1420. This trade is -$1,100.00. Neither trade hit my mental stop loss of 50%. So, next week the stop loss drops to 40%. Does this trade have a chance before getting stopped out...

In the early/mid '90's, FNN/CNBC used to have a short segment with Dan Dorfman. He would come on and name a stock, and it would move. Since trading over the phone was in, and the annoucement was usually made around 2:00PM, you could get in quickly and ride the wave for a day or two. The...

Credit spreads are far better than writing naked options. The risk:reward is superior. Interestingly, if you are that good at predicting 30-day direction, then why not just trade the underlying?. Anyway, say you believe the market will be below current levels in 30 days. So, write an ATM...

Final Update for May08 short straddle. To recap, I sold 3 P1385 at 26.75 and sold 2 C1385 at 25.50. Total premium received: $6562.00. Initial margin was 17,296. The initial VIX was 20.47. On 5/16, the ES closed at 1425.75. The closing VIX was 16.47. The puts expired OTM. The calls would...

There is no free lunch. Wider spreads are usually found trading futures options; even the ES options have wide spreads. Since commissions and fees are generally low, this savings is made up by wider spreads. Nothing is free.

Total premium received was $6,553.50. Subtract the current option value of $3225.00, and you will have a gain of $3,328.50. Anyway, Wednesday was a bad day. It is tougher to make decisions, for I have to live off my profits. Earlier in the week, my gains were around $3800 and $4000.00. Of...

I like this thread; you learn a great deal about people when you tell them what you do. First, I say that I am an options trader. If I see a blank look, then I tell them that I am an investment manager. This usually gets the conversation started; if not, then they are probably putting their...

Use globalfutures.com. Best customer service; backed by one of the strongest FCM's, RCG, in the business. Use the J-Trader, which is incredibly fast and accurate, for free. make sure that when you open your account, you tell your broker what contracts you want to trade; automatic access to...

No. The limit applied to CTA exemption is the number of people (entities?) being advised--15.

Suppose one trades short straddles on the ES. Any prop firms accepting this types of traders? This trade is hedged, whereas one-sided option writing has much greater risks. If you are trading futures options on the ES, then SPAN margin is much "kinder" than portfolio margin. That was my...

Any Board members actually trade OPM and are exempt from NFA/CFTC designations CTA and CPO? If so, what do your business entities look like? How many "qualified investors" do you have? I am asking, for I am considering applying for CPO exemption (CTA exemption is automatic is you advise fewer...

Week 3 update for unbalanced short straddle: ESM8 settled at 1389. P1385 settled at 11.30, and the C1385 settled at 15.30. Maintenance margin is $12,178.00. Gain-to-date is $3,328.50. Total option value is $3225.00. This week's stop loss is $7875.00. Again, I will cover the ITM option on...