Volatility trading
- Thread starter drukes1234
- Start date
Success breeds jealousy and doubt
learn to fight them off with a stick
It'll be a sport to you soon. Not only will you laugh while you do it, you'll take great pleasure watching them squirm because they just can't get it working while at the same time making useless comments on your trade.
Good trades
learn to fight them off with a stick
It'll be a sport to you soon. Not only will you laugh while you do it, you'll take great pleasure watching them squirm because they just can't get it working while at the same time making useless comments on your trade.
Good trades
I still do not see the connection between trading volatility and the TASRE trade. Did you buy TASR because IV was at historical lows or because you expected IV to increase for a significant reason? No complaints on the trade, just trying to link the title to the trade.
I probably should have choosen a different thread title, that's my fault.
Basically I bought TASRE because through my observations the options were poised for a big move to the upside and anything over 50% I consider volatile but I am by no means playing my picks with the thought that it could be volatile in both directions--I only bought TASRE calls and I wasn't hedged in any way.
Basically I bought TASRE because through my observations the options were poised for a big move to the upside and anything over 50% I consider volatile but I am by no means playing my picks with the thought that it could be volatile in both directions--I only bought TASRE calls and I wasn't hedged in any way.
TASRE calls are up another 75% today so I'm going to take a bit more profit--I'm almost fully liquidated
STSI common stock up 10% today
Took some STSI profit as common stock is up 9.26%
If anyone wants to discuss my picks in real-time they can add me to there respective IM's.
MSN - mike_hartmann88@hotmail.com
Yahoo - hollatme44
AIM - hartmann989
MSN - mike_hartmann88@hotmail.com
Yahoo - hollatme44
AIM - hartmann989
TASR options are up another 66% today and I'm taking more profit--I have just a little bit left on the table
Sorry to interfere with this obvious "love fest" - I like to check threads that have titles of interest, and yet I haven't seen any discussion pertaining to "Volatility Trading." LOL...
I think I did see riskarb mention something about other factors that come into play, but here's my 2 cents.
Since the 1970's, on the options floor, we have always looked to hedge by buying lower volatility, selling higher volatility, generally with calendars or verticals, while keeping somewhat delta neutral. I say "somewhat" because, as the near term shorts get close, we take additional risk if the stock is near the strike price (but since this last few days is generally all the profit differential, based on Implieds, we would "tough it out."
Most of the same strategies we enjoyed for 20 years seem to have gone away, since I notice most conversions priced right at fair value....but, I still like ratio calendar's if there is enough juice in the near term....then simply do the "double rollover" (sell long, plus extras, adjusting strike price if necessary, and buying the further outs).
Anyway, I was sort of expecting to read something along these lines, from those of you actively trading in the pits or off-floor.
What's working in the volatility game for you (no, I don't mean naked Tasr calls, LOL). ??
All the best,
Don
I think I did see riskarb mention something about other factors that come into play, but here's my 2 cents.
Since the 1970's, on the options floor, we have always looked to hedge by buying lower volatility, selling higher volatility, generally with calendars or verticals, while keeping somewhat delta neutral. I say "somewhat" because, as the near term shorts get close, we take additional risk if the stock is near the strike price (but since this last few days is generally all the profit differential, based on Implieds, we would "tough it out."
Most of the same strategies we enjoyed for 20 years seem to have gone away, since I notice most conversions priced right at fair value....but, I still like ratio calendar's if there is enough juice in the near term....then simply do the "double rollover" (sell long, plus extras, adjusting strike price if necessary, and buying the further outs).
Anyway, I was sort of expecting to read something along these lines, from those of you actively trading in the pits or off-floor.
What's working in the volatility game for you (no, I don't mean naked Tasr calls, LOL). ??
All the best,
Don