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A unique price change is the event when previous((Bid + Ask)/2) <> current((Bid + Ask)/2). The formula is showing the mean expected price deviation in N steps. If the real price change is less than expected value the chop is high; however, if it is higher, than the directional move is prevailing.

That's OK. The smart ones will befit, the dumb asses will not! :cool: :D

Chop = squareroot(2*N/pi), where N is a number of unique price changes in a unit of time. The higher the number the less chop you have.

Protective stops should be a function of current volatility levels. No fixed stop loss levels will be efficient. Markets are constantly changing their behavioral patterns. You need to adopt your stop loss calculations to them. Psychological profile of any market can be stable only for a short...

exactly

Do you realize that a covered call is the same thing as a short naked put?

In the world of paradigms there is an expression: - "Shift Happens!":D

I know a sure way to go bankrupt: - constantly increase your share in diminishing assets! :D

I don't watch anybody here on ET anymore, except Rennick! I think, Bill, you should create your own website! I like your sense of humor and your common sense. You are the only poster here worth reading. Highly entertaining!

I guess, you are not that familiar with the Options trading then.

I am buying Oct 130 oil calls. We will see. P.S. On top of it I bought US dollar index Puts. No guts, no glory!

Another very clear and elegant comment! I concur! :cool:

If I tossed a coin and it landed 12 times on a row showing heads does that mean I am in a"head trend" ? :D

GOD BLESS YOUR FAMILY!

I am very sorry to say that, please do not be offended, but your statement clearly indicates to me that you are still not quite there yet in understanding of randomness. Randomness has nothing to do with the predictability or with the anticipation. Unfortunately, there is no reading material...

What a rare and wise response! Less than 1% of all the traders can grasp the concept of randomness! And, yet, that is the only way to make money on the markets whether you like it or not! The understanding of true randomness of the markets has been a life-long research for me. Thanks God I never...

I am on my jury duty, Can't really type. We had a lunch break, so I checked the ET. Get your self a copy of Cottle's book , "Coulda, Shoulda, Woulda"; it has a pretty good chapter on the Gamma scalping. If you want, you can PM me your e-mail address so I can send you an electronic copy of this...

Don't forget that the Gamma scalping is a dynamic, not static strategy and could only be successful if the position is constantly adjusted to neutralize its Vega and Theta. Gamma will only manufacture Deltas in your favor if you stabilize Vega and Theta.

"Where is the recession? Show me ?" How about now? Still no sign of the recession? He, he ... I told you back in March to buy puts and sell calls on every rally. You said you had some hard data to prove that there is no recession or inflation. You said that those trades will never work out...

Comming soon ... :cool: