Destriero - Butterfly Trades

ironchef · Jan 14, 2021

.sigma said:
LORD HAVE MERCY ON MY SOUL

Now you know why @destriero doesn't need to sell courses and doesn't charge for advice. A good lesson for those looking to buy money making courses online or joining a subscription website.

ironchef · Jan 14, 2021

destriero said:
I have 500 flies on currently. A mix of classical (121s) and asyms (132s). I still trade a lot of flies. I'm only neutral (D) when I cover.

.

destriero · Jan 14, 2021

caroy said:
Do you have a trading partner or an algo to manage these? I'm intrigued by your craft.

No, i work for an FO but no clerk/execution slaves.

taowave · Jan 14, 2021

FO = Family office????

destriero said:
No, i work for an FO but no clerk/execution slaves.

Overnight · Jan 14, 2021

destriero said:
Go long AMZN double diags for Feb/Mar. I have 800 contracts various strikes and exps. Going to earn $3MM when they hit $50 on FebEx. My DCA is $6/contract. $20 last, up a mil.

SEC, you woke?

If I read this correctly, you are saying you are in at an average of $6 per contract, so with 800 you are requiring $4800 cash for the trade...What is the margin requirement total for positions?

taowave · Jan 14, 2021

You are off by a factor of 100..

800 x multiplier of 100

He good,but he didn't invent options

..Not making couple of mil on a 4800 dollar position..

Overnight said:
If I read this correctly, you are saying you are in at an average of $6 per contract, so with 800 you are requiring $4800 cash for the trade...What is the margin requirement total for positions?

Overnight · Jan 14, 2021

taowave said:
You are off by a factor of 100..

800 x multiplier of 100

He good,but he didn't invent options ..Not making couple of mil on a 4800 dollar position..

Indeed, I keep forgetting the multiplier bit. So $480K cash required. Still wonder about the margin requirement though.

destriero · Jan 14, 2021

No, these are short gamma diagonals. Some are 200 wide. The req on a single of the 200-wide is $20K less the credit. If all 800 were 200-wide my req would be $16MM. It's not, but it's the biggest position I've ever had in index or SN.

It's a cash req. There is no margin.

ironchef · Jan 14, 2021

taowave said:
He good,but he didn't invent options ..Not making couple of mil on a 4800 dollar position..

@taowave, better than invent options, he found a couple of printing presses.

.sigma · Jan 15, 2021

taowave said:
Flat is the new neutral

convexity is the new go foooooook yaself