Smart Money Sells Straddles!
- Thread starter shortie
- Start date
Short straddles in a trending market = suicide 
smart money don't care about trading playing options..smart doesn't have time for options...waste of capital and waste of time trading options.
there is only 1 billion in the options market pot..not enough in options market to make worthwhile for smart money
there is only 1 billion in the options market pot..not enough in options market to make worthwhile for smart money
Quote from shortie:
so i heard over the grapevine
There's the true wisdom for y'all option losers... Read it and weep, 'cause the God of Mkts has spoken.
The smart money is the market makers. They are typically collared--short puts (from the panickers buying at inflated prices); long calls (from the buy-writers) and short the underlying (more buyers than shorters). Small profits but lots of them. We can't replicate this for we can't get the favorable spread nor the favorable commissions.
I grew up on a farm with grapes and a winery.
That's when the vines are pruned to insure a plentiful crop for the coming year. You want all the growth to go into fewer vines.