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So basically the answer is NO you dont have any real reasoning that supports your opinion on "edge" in selling options. Who is the "you" in "you are scared money" ?

Without the childish insults, can you tell us how you concluded that sellers have the edge?

Great tell us about how you concluded that?

Insiders vs non insiders, whatever your idea of dumb or smart people is, or whomever someone or some people work for has zero effect on edge. Both sellers of options and buyers can get screwed by different events in the market whether they’re related to inside events of not.

You're talking about money management and portfolio management not really anything to do with options. "Paid to wait" is a perception not a reality, the reality is you've received a premium to take on risk and probably didn’t receive enough, thus no or negative edge in the options. If...

Same risk as any time spread

Thats a great point and one which is lost on so many ET'ers. I can think of one person in particular who posts very often about how he takes in tiny amounts of time premium with a fair degree of consistancy. He forgot all about how he got whalloped last year and gave back all the premiums he...

Writing an option is nothing at all like creating a counterfeit stock. Not only that the writer does not have to be the initiator of a trade, further even if the sell side of an initial trade closes his side out the buy side of that trade can remain open, there is no neutralization of any side...

The question has nothing at all to do with time decay, it was strictly a questions about edge. There is no inherent edge in buying or shorting options.

BINGO!!

I am always interested in how a facotry worker grows into an hedge fund manager. Thread Open!

He played power forward

I dont believe Mark ever traded at the CME, maybe the CBOE but not the CME LOL.

Wait a second, you WERE a factory worker, now your a hedge fund manager from all the free trade ideas posted on yahoo right?

Never heard of him LOL

I didn’t attack anyone. You never mentioned IV anywhere that I saw and the implication was 10cents was cheap. I just pointed out that "cheap" has no meaning without a qualifier and that the actual premium amount is not always a good yardstick for "cheap" Whether you made a trade or not is...

As others have already mentioned buying inexpensive out of the money calls or puts for that matter strictly as a directional guess has been shown throughout history to be a losing strategy. I would also not confuse betting and gambling with investing, again that’s a common theme of those who...

Depending on who your broker is and who you are you can quote SPX options tied to the futures via phone for a live market.

In 92-99 people were putting those numbers up throwing darts. Most of them are not in the market anymore they went back to their previous jobs.

For a retail guy. If your a firm and you use some of the sector indexes it wont be millions in haricut money. this thread is really about foolishly selling naked puts not dispersion. Ask putz master how selling nakked puts worked out for him. oh wait he is still trying to cover that up!