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Plain and simple being long options entails much greater risk than being short by virtue of the premium paid and the time frame that the buyer has boxed himself into. I have made many profitable trades from the long side, however, over time I will surely be a loser. If one is going to play this...

If humility is a product, therefore, trading is a large part of the GNP.

My response to "Isn't that risky? I tell them that with a few clicks of my mouse, I can have all of my investment capital converted to cash. I then ask them if they know of a business that can boast that kind of liquidity. They proceed to get a weird look on their faces and rarely answer. My...

Take this statement seriously. Continue to trade for your own account and never have to answer to other investors or some commodity futures trading commission. You are in the cat bird seat where you sit....why take the risk of losing someone's assets and the probable law suits that could come...

The fact that traders generate huge 1099 sales, would make one think that the irs would be looking at traders very closely. However, I have filled trader status for several years now and have not had any inquiries. I have been very curious to know when the irs is going to require clearing firms...

I have many years of trading options under my belt. The surest way to minimize your profits is to use spreads as trading vehicles. One trades options for the leverage that it provides. Spreads: 1. Ax leverage 2. Are very costly to operate 3. Give trader false sense of comfort Forget...

Was not meant to be taken that way. He is taking on a whole new set of rules with OPM. My reference to Mr. Schwartz's bad experience was a lesson that Mr. Schwartz felt was worth writing an entire chapter of his book. That is All.

Good luck in the OPM world. I suggest that you read the chapter in "PIT BULL" where the famous trader Marty Schwartz, after many years of trading his own capital, started managing a very large fund. Needless the say that he did not have any fun.

Of course you are right, very few hold to expiration, My point is the odds of what you are up against. If premium did not exsist in options, I would be trading options to this day. However, option sellers would have little reason to play the game.

Back in the 80's, I use to trade 100 to 300 contracts per day paying high commisions while I was a broker. I had some good months and bad but bottom line I lost mucho amounts of money. The basic problem was that I did not have a large enough account to short as much as i wanted. I will repeat...

An I-bank would not expose you to the type or quantity of trading knowledge that you would get at a hedge fund. Also, many hedge funds do not employ the quant method of trading that it appears you are looking to join. That said, if both of those doors are closed at present, I can not see how...

As business psychologists often point out, entrepreneurs have a high tolerance for risk. Thus their own perception of the odds they’re facing doesn’t always square with the grim reality of the situation, which helps explain why they drive forward where most cautious souls would not. -T...

Here is an article on the vix that Larry Connors published today....worth the read. http://biz.yahoo.com/tm/030728/10468_3.html

Has been a very good tool. However, it is over watched and over-played. I feel a top is at hand but my guess is the vix spikes down to the 10-12 area very similar to the spike above 50 at the last major bottom. We all know it's just too easy to now see the vix below 20, get short big, then go to...

And that would scare the hell out of me

I was a broker then market maker for many years. I dreamed of the day that I could go out on my own and actually make a living as a trader. I took the big leap in May of 1998 and have never looked back. There is no other job in the world as rewarding as extracting money from this awesome beast...