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Your first paragraph does not compute.. Do you understand why market makers delta hedge their order flow,or how prop desks profit from shorting vol?? Every sane market maker/deriv desk who is short vol and non directional delta hedges..have you ever worked on a derivative desk that didnt...

I believe you mentioned you trade in illiquid names.My guess is you will get skewered in Bid Ask,and on a meltdown it won't really help you.. Are you heavily concentrated in the financials???

We are the Champions,No time for losers,Cause we are the Champions of the World :)

Yes,ATM and close to ATM flys typically decrease with a pop in vol.However,deep OTM/Deep ITM flys typically increase with a pop for the very reason you mentioned.. From the little I have read,Des trades vert type structures,flys (split strike,condors as well), some diagnols... He doesn't...

Too many trolls.Go direct to Des..

Congrats,the little you think you know about me ,is a boatload more than you know about vol.. 4660 posts,and you still ask if traders make money trading short vol????? "Do you really profit from vol. when you are shorting vol.?" WTF you mental midget.Just quit while you are behind...

I'm assuming you are being sarcastic,as very few are dumb enough to ask if you can profit from being short vol... You presume profiting from vol is solely long vol.?? Go trade your first long calander and don't let the short gamma punch you in the nuts..

Cheap shot at Cuban..Mavs just lost in 7..

Your perspective is punting from a long vol perspective...If that works for you,and it very well may,keep on punting...No need to delta hedge.. Are you saying you trade in the same manner when short vol?? And dont confuse trading directionally with trading vol...

This thread is H O T.... Not often we get quad shots mixed in with vol and zen koans....

AMC for example..Is there any particular edge in the synthetic flys, I.e. short straddle, long wings vs Flys 1x2x1. 1/3/2. 2x3x1.. Compare it to a co d or,which is really a bunch of stacked flys. If you look across time,there is one expiry that makes diagnols attractive..Yes,that's not a...

I would not go that far,but I have decidedly moved into your camp if you want to be a lights out trader... The problem is there is a fairly long process to get to the point where one realizes the wisdom of your words...One can't discard of a method if they never learned it... From what I can...

@JSOP...Sure it does...Think about it Realized vol vs Implied.. Delta hedging is gamma hedging... What causes your Delta to change??

Des taking on Des,mano y mano... You ready.??? ..

Slow down my friend,you may get hurt:) Read up on Delta hedging,which I do not believe Des focuses on

Good question,and I come in peace..I don't know Des,but I do know he is extremely knowledgeable regarding option "math".. I have gained valuable insight from his posts,and FWIW I was the head trader of equity derivatives at a major I B.. Imho,he knows his shit,and the higher option voodoo is...

Hi there,when you say a "basic understanding",how basic is basic?? Are we talking MacMillan basic,Natenberg or Hull/Taleb/Bennet(not basic)??? Do you have a decent grasp on verts,calanders/diag,skew and 1x3x2 vs 1x2x1 vs 2x3x1 as well as synthetic structures?? Tony gave a very good reply,but...

Only upside,no downside??Not sure I follow you..Are you saying the guys in the 1 mil plus do not have real dollars at risk??

What is mind boggling is that the OP won't spend 5 minutes backtesting a simple momentum system that trades his chosen strategy,rebalancing weekly,selecting the highest RS/ momo stocks that meet his criteria..

Check the 13 F... Of course Funds trade equity options