This site helped me

[taowave]

Did you come up with that on your own??

Dont lose your day job

Yes there is lol... buying you have premium and time decay working against you.

 

[wxytrader]

Did you come up with that on your own??

Dont lose your day job

I was just correcting your statement that there is no inherent edge to buying options versus selling them. There is a huge advantage to selling them.

 

[taowave]

It sounds like you are confusing edge with the chance of being profitable

Most options decay without assignment so I guess there is, depending on how many ATR's out you go.

 

[taowave]

So when you price an option and come up with fair value,are you saying the seller has "Edge" because they are collecting theta??

No need for assessment/forecast vol??

I was just correcting your statement that there is no inherent edge to buying options versus selling them. There is a huge advantage to selling them.

 

[wxytrader]

It sounds like you are confusing edge with the chance of being profitable

It's the same thing...if you have more chance of becoming profitable then you have more of an edge.

 

[ironchef]

So when you price an option and come up with fair value,are you saying the seller has "Edge" because they are collecting theta??

No need for assessment/forecast vol??

That is why he worries about CSP margin requirement and you live in the Hamptons.

 

[taowave]

Ay chihuahua!!!

It's the same thing...if you have more chance of becoming profitable then you have more of an edge.

 

[taowave]

The big difference is when I was younger and dumber,I was lucky enough to work at IB's..

He's young and dumb and on his own..

That is a dangerous combo

That is why he worries about CSP margin requirement and you live in the Hamptons.

 

[mikeriley]

Everyone has an opinion about how to make money
with options, but only a few are actually making money.
Sounds about right.

 

[ironchef]

The big difference is when I was younger and dumber,I was lucky enough to work at IB's..

He's young and dumb and on his own..

That is a dangerous combo

Those of us old and dumb and on our own?