Quote from dottom:
For "trend range days" or "key reversasl days" the price will be slightly biased, for example instead of purchase for $1 and payoff of $1, it may be 1.20:1.00. So you'll have to hit more than 50% if you're trying to pick "obviouis chart patterns". The flip side is for those "obvious chart patterns" you can model the market internals and predict when it will NOT follow the "obvious" direction. Lots of edge here as most traders just see "key reversal day" or some such... only problem is you may see only 1 of these situations per month.
I dont quite understand? Could you please dumb it down a little for me? Is it because the option is more expensive to buy from volatility, based on 'obvious chart patterns'? For both directions? But, if so, could you sell the option instead? Or simply trade the underlying?
What am I missing?

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