Directional exposure with Futures, Vanilla Options, Risk Reversal, or Synthetic?

[Global OptionsTrades]

Having trawled through threads in search of wisdom, one participant (with more than one username, spanning several years) has shared a whole lot of useful commentary on ET.

In summary:

...Spread EVERYTHING... Even intraday positions. Flies are magical when OTM. I know; destriero and the flies, but there are massive gains to be had with OTM flies, and they're cheap.

I've researched and modelled this for a few days and it seems sensible to take the discipline that I already use for far-dated OtM credit spreads, and invert it for OtM debit spreads.

Many thanks for taking considerable time to share lots of useful info @destriero

 

[jamesbp]

Having trawled through threads in search of wisdom, one participant (with more than one username, spanning several years) has shared a whole lot of useful commentary on ET.

In summary:

[/USER]

Andy

There's also a discussion on aspects of trading OTM flies on the FTSE in the Siggops Group
... if you search for ... "FTSE Road Trip" ... "Think like a butterfly, trade like a bee" ... etc

Cheers
James