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    The Best Trading Proverbs

    a few from the old floor days..... just remember that you are replaceable - no one in the market really gives a shit if you are here or not (there are multiple versions of this) "never going down again in our life time" --- always used to hear this one when something was having a dead cat...
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    RISK and how we deal with it.

    No - if risk is about the potential of loss of value..... there is plenty of risk in drinking Kool aid. The value of the loss might differ. Just because the outcome might be fairly certain it does not mean there is not risk. Potential for loss can be on the scale of certain to uncertain. There...
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    RISK and how we deal with it.

    my 2 standard deviations worth.... risk has to be associated with uncertainty.....as risk is about potential loss. example: at present it is certain that we are going to die. But it is uncertain how or when or why. So when talking about the risk of death you have to apply uncertainty...
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    Can I get one of you to verify my 600% Return over One Month?

    its like comparing grapes to grapefruit. Returns on margins are for bragging rights.....much like saying +600% in one month. Especially if it usually leads to -100% in 1 year. /////// as to verification of a one month trading account. --- Easy to do as to the point of bothering...
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    Random

    thats because they are all long and there will be nobody left to buy. .............. on a random note. Why is it you never notice the sound of the garbage mans truck unless you have forgotten to take out the trash and its too late?
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    How Smart R U?

    You had better hope so! :)
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    Hedging with puts - Confused

    There is delta hedged - you will need 2 puts - and this can be regularly adjusted or rehedged with movements in the underlying....simply because of the strike you chose to use. (Delta 30 would require 3 options, Delta 80 to 100 only 1) and There is absolute underlying hedged with 1 put whereby...
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    How Smart R U?

    you chew gum? Holy cow I thought you used it to hold the bottom of desks together...... Dont tell me things like cars are for transport, and that if someone leaves my field of view they still exist.....then you would really messing with me :)
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    How Smart R U?

    thanks....funny how the obvious sometimes sticks out when you miss things or they are worded differently. I read the question and thought that DRAWSZENLIT is not an anagram of any of these words..... city mountain river country mathematician a changed word makes all the difference - 'for...
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    How Smart R U?

    anyone get this question and answer it? 9. DRAWSZENLIT is an anagram of ? city mountain river country mathematician
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    Using option smile to trade underlying

    when you are talking about the smile I assume you are talking about the skew of the vol? For me the smile is more about the risk profile you actually have from either long vol or short vol. Never the less.... Most MM have the same idea as anyone else regards where it might be going. The big...
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    American Style futures options Greeks

    ManinJapan - remember the difference in theory v reality. The cost of carry for you will be different for others and yet the prices quoted and traded might simply be the cost of carry of the average market participant. If its your actual costs that you are interested then plug those in and...
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    Does having a spouse with income help or hurt trading?

    Is this an identical or equivalent question to..... If you had a second source of investment income (one where you dont have to work or spend time at it) - does that help or hurt trading? ............. I think if you add a wive who does not understand or does not fully support what ever you do...
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    Options market making advice

    For individual equity options (as opposed to Index)...... The best way to do this is via SIM and stress testing as no book will give you the real experience. Test things such as; how options are affected by dividends (changes in size and ex div dates across expiries) and what happens...
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    SKILL or LUCK???

    FWIW - you should also compare it to the results of simply investing in the instrument you are trading. Unless you take a long enough sample of trades and time sometimes the comparisons might show its not worth your time and or effort if you are still not doing better than simply investing in...
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    Too Many Indicators?

    It all depends on what you are wanting the indicators to indicate....and if you cant answer that why would others be able to. otherwise its a lucky dip
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    Would it be better for the average person if banks/hedge funds couldnt trade?

    Given how bad most people are at making economic/trading decisions then - no. The reason why mutual funds etc exist is because of collective groups and economies of scale in both cost and time. These days however its cheaper for most not to pay a fund manager and just get an ETF - but here in...
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    Most overused words and phrases in trading

    2 linked and overused phrases For traders (and forum contributors ) when they say at the start of the day (thread) "I am right, you are wrong. " ....then by the end of the day it becomes.... "The rest of you can go and get f...d, dumb, sht...stinking markets."
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    Yet Another Example of How U.S. Style Capitalism Hinders Innovation and Competition

    you might enjoy this as something to think about. http://blogs.lse.ac.uk/politicsandpolicy/archives/41937
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    Option Market Maker Questions

    FWIW - there are a lot of diming systems whereby a MM might always want to be part of the best bid or offer up to a certain level. being a MM is largely about participating in as many trades as possible with a theoretical edge and constantly spreading, and so if a client buying can somehow...
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