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Very nice charts! Basically it's a 3D representation of how hard it is to make money trading options. For example take your verticals; want to go long using call bull spreads? Then you need to overpay near the money for your longs and get underpayed out of the money for your shorts. If the price...

Yes it's priced for a bounce. If the bounce happens volatility will be squeezed out. It's currently being squeezed out of the puts hence the "value" in the otm puts. You'll get the price if your talking about liquid stuff.

I agree with your jist. If one could quantify it would make buying bottoms a lot easier.

Basically IV will contract on rallies and expand on declines. So use skew measurements and estimates to calculate where prices will be at any given predicted level. Think and learn about stickiness.

Trade King has it.

If you like the ask price and your looking for better speed just buy at the market. Your limit prices, even if your limit is the market price will cause delays.

How would you go about scalping this? If you mean legging in and out the odds you are interested in maintaining are now out the window. I guess you could put the long on during a pullback and then put the short on during a rally. It’s a tough play anyway but with the ITM b/a spreads even harder...

Deep in the money is where probabilities and realities overlap. Not going to look these up but use your deltas as approximate odds of being ITM. Your long has about 100% chance of being ITM and your short will be about 95%. This is why there is no tradable value in your spread. The wide bid/ask...

were these up on buyable prices? I.E. CDE up 2.59%, yet I see it up 1.5% and it opened at 4.76 and closed at 4.71.

One reason I like spreads over pure longs is expectancy. Obviously if I get a straight-line move calls or puts will beat spreads. In the real world it’s the zigs and zags that kill that kill positions. With verticals you can withstand some counter moves and still be alive. I find spreads...

The fact that you traded them as spreads doesn’t matter. Just import the all the data and let the win/ losses on the individual options net out. You’re only being taxed on your gains or writing off a portion of your losses. With most brokers you can export a .txf file of your trades, then...

I’m not sure what’s causing your issues but some of the retailers, (Trade King and Options Express) base their geeks on last price. Options Oracle bases on last price also but will adjust when you select a buy or sale. In other words the greeks will be based on whether or not your quoting...

I like straddles on paper. Very tempting. Put them on after earnings preferably after a few days of volatility crush. Buy them low in their IV annual range. No need to predict direction and sit back and make money. Real world they usually are priced right at any volatility level. The price of...

Not familar with IB but most chains will differ depending on if your buying or selling. I.E. if your selling the the delta is calculated on the bid.

I guess I'm all wet. As I think more about this... no need to go FOTM. Why risk the entire debit? I choose what to risk, so give it a reasonable amount of time and cut out if my 1 to 5 is being violated. It's like trading stocks but there is more forgiveness.

My thinking is FOTM (maybe a daily std. dev. or 2) would be necessary to risk 1 to make 5. I guess I’m thinking about flies with my comment and that’s why I directed the question to you. Just trying to learn.

Atticus: Forgive my ignorance. It seems one could do very well with a risk/ loss like this. A 200 batting average would keep you in the game indefinitely and 300 or 400 your golden. Do you have to go far out of the money to achieve this? Or do you cut loses quickly? Thanks