My option trades

[babutime]

Quote from atticus:

In general. I rarely trade flies into reports unless it's LEAPS and I expect the entire curve to flatten a bit. Irons will always fill tighter than the natural, but I am willing to pay a penny or two more for the convenience of trading the natural as a single order.

Hey atticus, did you mean Curve as in the skew flattening?

 

[atticus]

Quote from babutime:

Hey atticus, did you mean Curve as in the skew flattening?

On duration.

 

[atticus]

Quote from atticus:

The flies still look good in May. Vol still has to come in. I have a small position in the May 550-610 fly from 8.00 risk.

This fly is still a buy (short gamma) at 9.20.

 

[Rationalize]

Quote from atticus:

The highest gamma position on a straddle is when pinned to the strike, but it generates little delta within one deviation. So you're best to trade iron flies // natural flies (like Babu's) if you're intent on legging out. (Makes sense, as theta is highest ATM).

FWIW, I trade more natural (call or put) flies as I can trade them on a single order line in a ssheet or TWS.

atticus - Natural vs Iron flies?

Other than order entry .. which, when and why?

I've tend to think in terms of iron .. mainly because I "like" verticals.

Edit - Not an options guy. Just thinking outside of comfort zone here.

 

[atticus]

Quote from Rationalize:

atticus - Natural vs Iron flies?

Other than order entry .. which, when and why?

I've tend to think in terms of iron .. mainly because I "like" verticals.

Edit - Not an options guy. Just thinking outside of comfort zone here.

If shallow-ITM (bull or bear, directional) I almost always choose a natural. If neutral it's a pick-em, but often the ITM leg on the natural makes it a tough fill on the exit.

I can build irons with a generic spreader in IB and other clearers, but it's mostly personal preference. IB's TWS is idiosyncratic with their condors; they apply a haircut > the debit on the natural condor, so they essentially force you to trade the iron.

If XYZ is at 100 I would choose the natural if bullish in the 95/105/115 call fly. If I am neutral it's whichever mkt is tightest on NBBO. Generally it's best to avoid any deep ITM leg, but it's always possible to offset a fly with its synthetic (iron offset against a natural) if the need arises.

Either way, you're still trading two verts with the natural.

 

[scottandmo]

Quote from ForexForex:

Position Still Open - Update Tomorrow

You're still that confident it's going to drop, and why didn't you create a stop loss when it was in the $0.70's?

 

[scottandmo]

Quote from scottandmo:

You're still that confident it's going to drop, and why didn't you create a stop loss when it was in the $0.70's?

I guess so, back to break even at least.

 

[jeffalvinson]

Entered new trade from older system:
SPY May 140 calls
Buy 1: 1.30 (filled)
Sell Limit: 1.70 but if tanks before rising then
Buy 2: 1.00 and new
Sell Limit: 1.45
Stop: .90


R/R:
.45 + .15 = +.60
-.40 + -.10 = -.50

 

[ForexForex]

Quote from ForexForex:

• GLD @ $160.42
• Buy GLD Apr 2012 159.00 Put @ $0.51
• http://finance.yahoo.com/q?s=GLD120421P00159000
• Expires this Friday
• Should be an easy 2x trade, like taking candy from a baby

Added 20 more contracts @ $0.39. 40 contracts total, average $0.45 each. Big day tomorrow. This trade is like shooting fish in a barrel.

Once the trade is completed I will give details about my strategy, I do not want to show my cards yet.

 

[falconview]

Jeff

Was just going to mention, the ATR and VIX are rising. So time to trade long options again. Then I see you already entered. I´m still waiting here for a better entry signal. Probably tomorrow as only ten minutes left here.