Recent content by seancranky

rvtrader10, I know, time, the enemy of gamma. My suggestion is, you can short strangle (if that's what you meant by protection) on one side and long strangle on another side, then you are neutral to time, and wait for a reversal. Normally shorting options means risk, but that's the only...

As for different expiry dates, you can wikipedia "calender spread". You seem to be fond of options, they are interesting aren't they?

Dear rvtrader10, What you said makes sense totally. Have heard of the term "volatility arbitrage"? It's this sort of thing. For example, suppose one FTSE straddle is 10 euro, one DAX straddle is 5 euro (I just made it up), However you find that the volatility of DAX is more than half of FTSE...

By the way, I don't really believe in that, simply I don't have a deep pocket and one big failure will just destroy me. Especially when I am not hedged.

statistics, I would say

Well, actually it's a very interesting problem. Try to find another pair where one is in US another one is in (where RON is used...sorry my knowledge doesn't suffice) that you can arbitrage the dollar one and cover with the RON one. Then you don't need to exchange currency at all, and the profit...

or a currency exchange future, but it costs extra money though

currency swaps?

I know, I know. Everybody looks stupid when they are new in a career, that's why I need you guys who are already in this career to point out my mistakes and I can learn, that's how people move forward, otherwise I am stupid forever. What so ever, I do noticed that the spreads in Milan is almost...

Thank you for replying. I am doing a little research on automated arbitrage for getting a job, so, basically I am talking about institutional arbitrage (with computer). The first case, the arbitrage strategy is: 1, send limit order to buy ING shares in Milian at good price, suppose the limit...

I know, I wouldn't do arbitrage with my bare hands. Just some theoretical research. Technically, it's very interesting. suppose, ING Groep, amsterdam: 6.50-6.52 milan: 6.45-6.53. In this case, they have different spreads, you can definitely arbitrage milan and use amsterdam to hedge, and make...

I have a question about arbitrage. Let's say the company bought 1000 some stocks in NASDAQ, then they sold these stocks in Frankfort exchange market because of a difference of prices. That's what textbook say, without further details. How does it work? Is it possible to actually sell the stocks...

Hi, I'm going to take that test in the next week, I wonder what are the question paper and answering sheet like? Normal A4 paper with lattice? Should I be careful that don't write the answer in the wrong place? Maybe I think too much...