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Microscopic option selling
- Thread starter deltazero
- Start date
What's your current position?
Why are you losing money. I thought you were short vol.
Why are you losing money. I thought you were short vol.
Quote from newwurldmn:
What's your current position?
Why are you losing money. I thought you were short vol.
Theoretically, I'm long vol. In reality I think it's not so simple, as long term options tend to get affected by vol change less than short term options.
Attachments
Why didn't you just dynamically hedge your delta instead of putting on a calendar spread? The vega seems to be killing you.
Quote from WhenVolsFly:
Why didn't you just dynamically hedge your delta instead of putting on a calendar spread? The vega seems to be killing you.
Commissions + big bid/ask spread for long term options. Vix is as low as it gets, so I hope this drop is temporary. Although, I have to admit - 5% account fall in one day is more than I expected.