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This is why I just sell them ATM.

Not completely true. Short options are marginable. It's not difficult to replicate a long or short position with more leverage than reg t provides on the underlying. Hint: S = C - P

People do it all the time. Main issue is bid/ask spreads. Also consider selling puts and buying calls ATM or vice versa.

Too funny. So when you short term trade you're a genius but when anyone else does it they're retail pikers bound to lose everything. :-)

The thing to note about the China thing is that it was entirely possible to foresee all of this actually happening had some critical outside the box thinking been applied. I applaud all traders who positioned for this possibility appropriately as they were ahead of the curve.

Haha you're either nuts or completely scared of your own shadow. JP is totally safe in comparison to the USA. It's his choice to not want to be known and while I think that's a good choice it doesn't mean Japan is a dangerous place by any measure. Go to Central America sometime.

So how about that Chinese birth rate?

Realistically I feel we're all really just trading with or against the Fed. The market ceased to be reality probably close to a decade ago.

I don't watch CNBC and if you knew me in person you'd probably consider me anti-gullible. I'm not saying the guy is a super trader but he does have actual real world trading experience and has written books related to it. You're overcomplicating this. I'm not saying they're long and short the...

Once again, I'm certain Taleb knows how to trade typical stuff without getting his balls cut off. It's entirely possible they bias towards positioning of black swan like positions while also supplementing income through other hedged or outright long volatility plays. I don't know exactly what...

Found it and this could simply be hearsay. Also, they would have been ITM at the time with decreasing gamma so not sure this would be a Taleb play.

Fed is a lot of talk.

I also remember someone buying 2500 options of something.. can't remember if they were VIX calls or SPX puts.

A good example would be if NFLX or AMZN dropped 25% tomorrow due to an analyst downgrade. Too hardcore of a drop in a short period of time but ultimately both stocks could be considered overbought on a larger timeframe.

I doubt the hedge fund is *just* black swan option plays. The dude wrote a book on dynamic hedging, was a prop trader and market marker at multiple well known shops. I'm sure he knows what he's doing.

Irrelevant as he wasn't even trading during the actual "flash crash" period, anyway. Right, because just if one has millions of dollars then they must automatically go out and buy new cars and houses. Unless you live with the family, you're simply jumping to conclusions - and dare I say lack...

Food for thought: Was watching one of the episodes from the excellent Human Planet BBC series and this particular one was on desert people. They had a group of Tubu women making a 20 mile journey by camel in the Sahara to reach a distant well, landmarked by just a single lone bush. The older...

IMO just stick to key levels from a higher timeframe chart, look how price acts around said levels, and be PATIENT. Minimize number of trades and add to winners. Less is more.

I don't get what's so controversial about SLA. It's just trading levels and there's nothing wrong with that. Perhaps the problems people have is they trade in areas that they simply shouldn't be trading in. I don't use SLA specifically but no doubt some of my own approach has some overlap.

Enter orders with BookTrader and ensure you've setup the bracket defaults appropriately. There's no need to set stops based purely off of percent of account, and I would argue its irrational. Set stops based off of significant levels but do not exceed a certain percent of account, where said...