This Forum overtrades options

[bwolinsky]

Quote from Pelagos:

ditto


To the OP:

My trading system is based on primarily on short option positions, near as makes no difference delta neutral at initiation. I have structured my system, effectively modified the BS formula to my advantage from the outside and enjoy a 74% win rate with prudent money management (reg T margin has worked great for me).

To those who are new to options trading:

There is no one size fits all solution in options trading(I'm doing this since '95) Neutral strategies work. Explore them and keep an open mind. Have patience and understand there is no get rich quick scheme out there. You need to trade with the pro's and, outlast yourself on the way there in order to succeed. Paper trade in real time. Don't test ideas with $. Your system should be an expression of how you think and see.

Good luck

Good luck

I sim traded 30 days for a 40% return.

 

[bwolinsky]

Quote from BeatingtheSP500:

So you have a system that has back tested extremely but haven't traded it for any substantial period of time. You are thinking that the idea and execution of this idea will be so far beyond the cro magnons who currently have the money in this trading arena, that when you start relieving of them of their money your life will be in danger?

Yes.



Most cro magnons have some kind of quantitative analyst in-house to model their trades, but besides that their only advantage is data. Since I'd estimate my database to be worth between $20,000 and $35,000, naturally either a wealthy individual or institution should have this but most of them wouldn't even know where to start.

If you have data then the only other thing that cro magnons might have is a faster computer but since my programs are in Multicharts Multicharts doesn't use anymore than 2 gb so it's not like you could do a bunch of calculations. You'll still do a bunch of calculations and they're probably faster than mine but if you wait by your pc it'll give you the optimal values.

 

[Martinghoul]

Quote from bwolinsky:
Yes.



Most cro magnons have some kind of quantitative analyst in-house to model their trades, but besides that their only advantage is data. Since I'd estimate my database to be worth between $20,000 and $35,000, naturally either a wealthy individual or institution should have this but most of them wouldn't even know where to start.

If you have data then the only other thing that cro magnons might have is a faster computer but since my programs are in Multicharts Multicharts doesn't use anymore than 2 gb so it's not like you could do a bunch of calculations. You'll still do a bunch of calculations and they're probably faster than mine but if you wait by your pc it'll give you the optimal values.

Seriously now...

Judging by your posts, this thread surely has to be some sort of wind-up.

 

[jj90]

Quote from bwolinsky:

I sim traded 30 days for a 40% return.

ROFLLOLLMOALOLOROLOFMfalOAOMOASMDFASOFDS#%#!#%*#Y*(%#!FDWFD+!!!

Please, keep this shit coming. I expect more one liners from you

 

[bwolinsky]

Quote from jj90:

ROFLLOLLMOALOLOROLOFMfalOAOMOASMDFASOFDS#%#!#%*#Y*(%#!FDWFD+!!!

Please, keep this shit coming. I expect more one liners from you

Heh. Should I have said the last 30 days?

But, seriously, pfgbest doesn't offer a reset, and they only sent you the trades you made at the bid and ask, so that was for 40% from a $50,000 account to about 69,5.

 

[bwolinsky]

Quote from Martinghoul:

Seriously now...

Judging by your posts, this thread surely has to be some sort of wind-up.

I just think trading options should be to profit from moves in the underlying, not what the option will decay to or whether volatility will change. Why trade that?

If I wanted to study maths and statistics theory distributed Weibel I would have tried to get a Phd, but I saw more than enough of such things in Empirical Analysis using STATA.

 

[atticus]

Quote from bwolinsky:

Yes.



Most cro magnons have some kind of quantitative analyst in-house to model their trades, but besides that their only advantage is data. Since I'd estimate my database to be worth between $20,000 and $35,000, naturally either a wealthy individual or institution should have this but most of them wouldn't even know where to start.

If you have data then the only other thing that cro magnons might have is a faster computer but since my programs are in Multicharts Multicharts doesn't use anymore than 2 gb so it's not like you could do a bunch of calculations. You'll still do a bunch of calculations and they're probably faster than mine but if you wait by your pc it'll give you the optimal values.

Weren't you attempting to sell your C2 system for $5mm? 7 systems... the best with a CAGR of 7% and the worst at -31%.

The QID system lost 50%: http://www.collective2.com/cgi-perl/c2systems.mpl?systemid=44396934

 

[bwolinsky]

Quote from atticus:

Weren't you attempting to sell your C2 system for $5mm?

$8.5mm. But not the one I've generally been referring to here. I'd never sell my futures system, but I would sell my pairs system, and that's what I posted true as C2's history never goes away.

 

[atticus]

Quote from bwolinsky:

$8.5mm. But not the one I've generally been referring to here. I'd never sell my futures system, but I would sell my pairs system, and that's what I posted true as C2's history never goes away.

Do I get a gift card at Arby's worth 9MM?

 

[Pelagos]

Quote from bwolinsky:

I sim traded 30 days for a 40% return.

Congratulations.

I also sim traded a day trade version of my system for 30 days a couple of years ago for fun and it was awesome (2losses)!

30 days a system doesn't make. The next three months were a disaster. So what paper money. Consistency over years matters in this business. Good luck

PS

My success is proof you can sell time and volatility as part of a comprehensive and consistently profitable strategy.