Risk reward sucks for options

[Overnight]

Lol, Destriero pulls out the whole "so-and-so" doesn't trade with...

@overwatch doesn't trade.

And then he posts shit about time zones.

You will not win the timezone war with me, dest.

You can't. My timestamps in my journal are real, and verifiable.

So are my broker statements, if you ever want to offer me money to provide proof of my reality.

 

[wxytrader]

You are responding to me, but I cannot see what you responded with, because of the flaws with the /block system.

Yes I also receive phantom responses.

 

[ironchef]

If you really want to exploit options, buy deep out of the money options. That is where the potential mispricing and value is because no one knows how to model the extremes (see Nassim Taleb for a more wholesome discussion).

Yes, options are great hunting tools. But you do need to know when and where to hunt.

 

[taowave]

When,where..and HOW

Yes, options are great hunting tools. But you do need to know when and where to hunt.

 

[ironchef]

When,where..and HOW

Once I solved the when and where, how is quite obvious: keep it simple, bet single legs.

 

[taowave]

Thats pretty impressive....

You've got to be a pretty good fundamental/ technical guy to cash in on Single legs

Once I solved the when and where, how is quite obvious: keep it simple, bet single legs.

 

[SimpleMeLike]

only sell options

Good Morning MarkBrown,

Why do you say only sell options please?

You can PM if it is secret.

Thank you

 

[wxytrader]

Good Morning MarkBrown,

Why do you say only sell options please?

You can PM if it is secret.

Thank you

 

[wxytrader]

Bull skew lock in NVDA (3-term) and index hedge. trivial long vega but left tail volcorr and upside sticky D on index. Correlation risk but it's an arb.

RUOK? The risk is symmetric. It's essentially a corridor long (fly) and the complex position (TOS pic) is >4/1 return at tails

The TOS stress is a 4/1 return. The Hanweck (top) is simply a exp plot of a vertical (fly) and 1/1 risk at the tails but +exp due to the fly bump.

So what book will make me fluent in this options speak?

 

[hilmy83]

God damn that accent is thick as hell. Are you indian bro? Of all the videos on options by many youtubers, you chose this.