Quote from Gaddock:
I read about five pages deep. You will not find a way to consistently make money on options at Amazon. By the time the sheep know it, it's over. There is simply no other way to utilize a NON PREDICTIVE high probability system of removing credit from the market than options. I consistently make money for my clients with options. I have a double digit alpha, a beta of less than .6 and an average portfolio delta of + or - 4. with a failure rate of two out of one hundred. I've many times wondered who could possibly buy the crap I'm selling ... now I'm starting to get it. Who would take the other side of a bet that has a 97% chance of failure ????? The same guy that thinks the holy grail is for sale at Amazon. If you are using options as a way to use leverage on a trade that is predictive you will be fucked almost every single time. As for the spread, I average 7% price improvement. Where else can you actually screw a market maker by trading in the box on a low volume summer day? If you don't know how to use the emini's on their pivot points with a pit caller, the trin, bank, tick, ticki, tickq, vix, eprem, currency pairs, program trades and know when they are firing...
I will be there to take your money.
I don't deny that I'd rather sell gamma than buy it, but your numbers (failure rate, average delta) are ridiculous, unless you're selling 97 deltas per contract. I am sure it's not that (avg delta of 4), and that [sarcasm]you're simply that good[/sarcasm].
