Search results

They can on a risk adjusted basis. Don't focus on absolute return.

Funny isn't it? The same ole shit repeated over and over and over again. It's hard to determine but did the madness start with Greenspan or somewhere before? There's no way Volcker was the problem, but no matter what the crisis, these central banks just cannot resist kicking the can.

IMO there are basically two main dysfunctions: Loss aversion / FOMO (they're related enough they might as well be the same). Using the market to prove out a dysfunctional need to be right. Sometimes they're both in play at the same times or independent times but I'd say these are the two major...

It should be a common theme anywhere. You definitely don't want to be adding to a position up to your full size when it's going against you. Sure I don't think adding to a temporary loser is the end of the world but you're better off adding to something that's proving itself right rather than...

Nah just pointing out that the front-end of the VIX curve (via QU [aug/sep]) is flattening along with the TED spread increasing (clearly flattening yield curve stuff involved [but LIBOR just hanging out?]) and that both of these things might be pointing to some short/medium-term fun. Maybe...

VX QUV fly + TED (3m LIBOR - 3m Bills) overlay:

IMO, short/mid-term dump (nothing extreme), then another "this time it's really different!" leg up (which might be the last for a while).

Unless you're playing some skew games you realize if you're shorting the underlying and hedging with long calls you're just trading long synthetic puts right? S = C - P => -S = P - C => -S + C = P

Why not just go with the flow based on a higher timeframe like a daily or weekly? Seriously people make this way harder than it needs to be. Trading isn't easy money by any means but being wrong is just plain normal. Unfortunately too many people use the markets to play out a dysfunction of...

We're in a ridiculously low volatility regime right now guys. It's common to start getting antsy and pissed off at the market when it's like this but the worst thing you can do is declare all your edges dead and start forcing trades on things just to have trades on. Change instruments, go back...

Probably one of my best low-bullshit trades this year. Do people really think USDMXN is exotic? I can understand a cross like MXNJPY or something but the peso itself is liquid enough.

The hate is because they live parasitically and basically give other people the wrong idea of how to "get ahead." Sure, one could say traders are the same bunch, but I don't think the expended risk is the same. I'd say it's pretty universal here that most despise the false trading educator...

Anyone who thinks every day is random and completely ignores any of the collective behavior of buyers and sellers in a given area just plain doesn't understand markets. At an underlying level it's all driven by trends of some sort. At the infinitely large time frame is it a giant range...

Unfortunately what's happened here is that your brain has learned something that puts you into "protect mode" given the right circumstances; the SNS fires up and basically puts the body into fight or flight mode but without conscious awareness of what's happening - which is where the anxiety...

If you had another box that could run iTunes for windows or even a Macbook of some sort you could simply setup an NFS share between the Ubuntu laptop and <insert-whatever-thing-here> and use that as a form of interhost transfer. A bit clunky but it could be made to work. There's also this...

Why are you guys using a product that isn't even open during the Asian session at all, does not have SPAN margning in any way, and has no pragmatic underlying from which to hedge (ES futures are a hedge but you're not getting margin offset through the exchange)? Sure, SPX options are twice as...

With loss aversion driving the emotional state of most traders and investors it's not exactly surprising to see a long biased instrument display downside "convexity." The reverse would happen in an instrument with a short bias (try finding one besides the VIX) but with panic buying rather than...

What's next? AOL?

Lightspeed is just a futures introducing broker here, the clearing firm is Wedbush which is CFTC regulated. If anything the "prop firm" here is the trader himself. To give you an analogy, the bank doing the firesale in Max E's situation would roughly occupy the same position Wedbush has here...

eSignal can do it - including the email notification etc.