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I am considering supplementing my learning experience by enrolling in some type of options trading education. Have you used any of the online options schools, mentors, even online courses? I would love to hear your experiences. Can you recommend one, and if not, why not?

@Maverickz good point - I actually do have a non-free data source available, so let's assume that is not a problem. I am much more interested in hearing about your problems regarding backtesting!

Yes you could, but it really depends on how you use it. It can be hidden in some way, as you said, but on the other hand, if you are using it to test strategy that you defined well (entry and exit rules), then it does not really matter if you know what will happen since you are just following...

Good question, I should have explained it better :)! So compared to automated backtesting, where you define the trade/strategy and let algorithm run it for certain period of time and report the results, in manual backtesting you pick some specific moment in past yourself, create a trade there...

Hey guys, I am hoping that some of the members might be able to help me with a bit of a research I am doing! I am working on a tool for manual backtesting that enables you to observe your trade in the past. What I would like to know is what are the biggest problems and obstacles that you face...

What do you guys think about logging your trades, and how do you do it? I still have a lot to learn about options so I would like to also learn from my previous trades, and I would love to hear how are more experienced traders doing that. Which tool do you use to track your trades? What do you...

@lawrence-lugar I see! But even with systematic, logical approach (which I really like as a concept), I guess there are some triggers to coming up with a strategy? I know there are guys that are always testing new systems / plans - so how does one come up with an idea for that?

I am interested in how do you guys get ideas for your options trades. Does it mostly come from books and tutorials, or you get them on forums / talking to other traders, or maybe by studying certain underlying and reading news about it?

@Martinghoul I value your opinion, but please let's try not to pollute this thread with personal feelings and posts that are not in any way related to this topic! From what people have been saying so far, I am getting a feeling that I should watch out to trade liquid options and make sure that...

@OptionGuru @Visaria thank you for your feedback - I feel like the point in this case was that trader should make sure that target profits are big enough so that he/she can "disregard" commission costs. Is it 10x or more/less is maybe not so important for this conversation, one can try to figure...

Thanks guys, that is some great feedback! Ok, so few key points I feel are repeating and are therefore probably extra important: - coming up with system takes a lot of time (years) - unavoidable part of learning is trying and failing, learning from mistakes - understanding risk and mastering...

Thank you all for your responses! Maybe I was not clear enough in my question, but I am not looking for concrete advice on how to trade, nor I think that I will suddenly learn how to come up with a profitable strategy. Instead I am interested in how you guys come up with and validate your...

Thanks! Is there anything else I can do except choosing liquid market / instrument, specifically asking regarding options?

I know that I should take into consideration commission and liquidity costs (bid-ask spreads) when considering placing a trade, however I am not sure how much should I worry about those? For commission I can pick broker with lower fees and try to negotiate better price, and for liquidity I can...

While learning about options I talked with experienced options traders, and what I have learned is that they have well defined “trading systems” (sets of entry, exit and maintenance rules) that they execute. This allows them to keep emotions out of the equation (emotions being a very dangerous...

Ok @Shay, thanks for explanation - so as you said, you are looking for interesting prices, but including effect of IV, and not excluding it as I suggested. I wonder if it is more useful to look only at interesting prices with included effect of IV, or looking separately at IV rank and...

Ok sure, I left open the question of using the same symbol or not, but approach is the same. Why would you not normalize over IV, do you have some specific reason? I do not think you can just disregard the IV, what you get will not be comparable (at least in the way I think about it). Of course...

@Shay interesting idea :)! From what I understood, you would like to find a way to check if price of certain option at certain time is in some way unusual, out of ordinary. The main idea behind this is to compare it with other options, and the big question is how/when are they comparable, how...

I would say strategy B - reward is two times bigger while the probability of success is less than two times smaller. My total reward is (win_rate * reward), so B is better. Or am I overlooking something?

@newwurldmn From what I heard so far from experienced traders, selling naked options is very dangerous and should be done only by very experienced traders. In some ideal conditions, if I sold options on X, my profits be similar to as if I was short/long X - that is what you were stating? But...