Plain Vanilla Options Trades.

[DT]

I don't understand the point of this thread. Firstly you're writing naked puts in order to show that option writers have an 'edge' - surely someone buying calls would also have profited?

In an efficient market why should there be a general edge in simply writing options? It is completely nonsensical.

Most professional options traders that I've met tend to take a fairly neutral view & trade vol etc..

Lastly - why would someone who has been trading for decades only be trading with 5 lots?

This is a rather confused thread.

 

[ducati998]

DT

Best not visit this thread if you want or require a rational discussion.
Should you persist, you may very well be requiring my services...........

jog on
d998

 

[dc2000]

Yes, fun isn't it ?
Often to deliver the message you have to resort to unusual...you know...approaches...
This is because I am determined to prove the writer has the edge over the buyer.
Of course it is also a matter of knowledge and skill, but as you know yourself, since you mention a job, the vast proportion of what people learn in jobs is to paraphrase you...is s'hithead stuff....which they cling to no matter what... ...and go on to defend fiercely...without even knowing why.

Soc would you mind not posting everything in bold letters there is no need to emphasise the whole post and it gets a little hard on the eyes with it being in purple in the first place

 

[ducati998]

Soccy baby...............

FTSE
VALUE............... 6,269.30
CHANGE............ -45.5
% CHANGE........ -0.72
TIME 11:36
TOTAL MEMBERS............ 101
UP ........................................19
DOWN .................................81
UNCHANGED...................... 1

What's the plan baby?
Can we risk hanging on naked?
Has IV jumped at all.

I take it there were no scalping profits today.
Wall St is getting more deeply red, and tomorrow is Friday.
From an extended bull run through August.
A correction is somewhere in the cards..................tomorrow?
One of those outliers?

jog on baby
d998

 

[SOCRATES]

I don't understand the point of this thread. Firstly you're writing naked puts in order to show that option writers have an 'edge' - surely someone buying calls would also have profited?

In an efficient market why should there be a general edge in simply writing options? It is completely nonsensical.

Most professional options traders that I've met tend to take a fairly neutral view & trade vol etc..

Lastly - why would someone who has been trading for decades only be trading with 5 lots?

This is a rather confused thread.

Since this is your first post on my thread I am going to be gentle with you, ok ?

The reasons for the preference are clearly outlined earlier in the thread. I suggest you go back to the beginning and work your way through it and then you will grasp the reasoning.
Then when you return to this point you wil uderstand that none of this is nonsensical, it just happens not to be mainstream in terms of strategies and tactics. Nothing of what I say is nonsense, you are treading on thin ice with me already if you accuse me of talking nonsense, however I am willing to overlook your remark purely on the basis it may be an unintentional turn of phrase.

Yes I have no doubt that the pro traders you have met do that. Most if not nearly all pro traders are mesmerised by volatility but not me. Again you have to read from the beginning to get a grasp of the difference between a tehcnical posture and fundamental posture in this regard.

If you follow the thread again you will see the exposure is not insignificant for the purpose of illustrating the point, but sufficient to do so, in order to make it meaningful without making it excessive.

When you have done as I suggest above you may then have a better understanding in order to frame your questions appropriately, ok ?

Also please do not forget to vote. Thanks.

 

[SOCRATES]

DT

Best not visit this thread if you want or require a rational discussion.
Should you persist, you may very well be requiring my services...........

jog on
d998

You are treading on thinner ice still.....

if you are not careful you will end up wth a VENDOR tag...ducatti.

 

[SOCRATES]

Soc would you mind not posting everything in bold letters there is no need to emphasise the whole post and it gets a little hard on the eyes with it being in purple in the first place

And you are also on thin ice, because of your habit of being naughty and provocative.:cheesy:

However, why not try wearing your sunglasses just this once ?....like this....

Look at a Alec Guinness in your avatar,...you see...if he had been wearing his sunglasses, he would not be squinting at the sun the way he is in the picture would he now ?

 

[SOCRATES]

Soccy baby...............

FTSE
VALUE............... 6,269.30
CHANGE............ -45.5
% CHANGE........ -0.72
TIME 11:36
TOTAL MEMBERS............ 101
UP ........................................19
DOWN .................................81
UNCHANGED...................... 1

What's the plan baby?
Can we risk hanging on naked?
Has IV jumped at all.

I take it there were no scalping profits today.
Wall St is getting more deeply red, and tomorrow is Friday.
From an extended bull run through August.
A correction is somewhere in the cards..................tomorrow?
One of those outliers?

jog on baby
d998

You will see...all in good time/

 

[ducati998]

Soccy baby

Just a quick word about your cohort in crime, The Master Option Trader, the famous, the genius, the master of the universe, of course none other than Mr bulldozer himself;

wal
Junior Member





Join Date: Mar 2005
Location: Perth W. Aust.
Posts: 29 Bull

You've just walked into the most benevolent casino in the world and they give you 10k to play with and a choice of either:

1/ plonk it all on either red or black for 1 spin only. They'll pay you 1/10 on both read and black...a guaranteed win. But, you have to sit there for six hours waiting for the croupier" to spin.

2/ plonk on red or black and play as much as you like for 6 hours. You may devise your own staking plan - money management etc. But they'll pay you 2/1 when you win (remembering black or red is a 18/37 chance)

(I'd been looking everywhere for a casino like this, found out they don't call them casinos, they call them exchanges )

Which would you choose?

Cheers

PS not really expecting an answer, just evasion, condesension or abuse...perhaps all 3 LOLOL

wal
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07-10-2005, 11:49 AM #68
bulldozer
Banned





Join Date: Jan 2005
Location: London
Posts: 689 Wal,

There is option 3:
Or be the owner of the casino for 6 days.

I'll go for option No 3.

Bull

Guess what, he's a cretin.
Yes I know, it's difficult to absorb, but just be aware, you are taking Options advice from someone who knows LESS than nothing.

jog on
d998

 

[Splitlink]

Very bizzi...
written 9 @49.5
deatais in next post.

Pardon my rustiness, Socrates, but how does the margin requirement fit into these trades?

Split

 

[ducati998]

Soccy baby

Probably more information than you require here.
I live on a farm in NZ, we have cattle on the farm, with the odd bull.
One thing you notice is that they [bulls] leave their droppings all over the place.
On occasion, the vet will examine the droppings should a diagnosis be required.

14-10-2005, 06:38 AM #90
bulldozer
Banned





Join Date: Jan 2005
Location: London
Posts: 689 Quote:
Originally Posted by Profitaker
But you haven't answered any of my questions

This one....

Or this one....
I'm interested in your opinion.... what do you make of the Vol skew ? What caused it ? and how would you trade it ?

================================================== =================

Prof,
" if footsie drops 200 pts...........bla bla"

I dont trade on IF's and ON LUCK! I'll leave that stuf for people like yourself!


Opinion? Vol skew? and what caused it? IS NOT in my trading strategies! READ MY POSTS AGAIN!! I trade on dffrt rules and dffrt strats to you. I trade on my strengths and on my rules/strats/hedges /account strength to take money out from other players accounts!

Like i said, keep learning yu'll come good some day! Remember that 90 % of option traders LOSE and less than 10 % win and a small % break-even! These data/figures/percentages is also part of my rules

Bull

Where you aware of the *strategy* that you are trading?
In essence, my bank account is bigger than the markets.
Interesting strategy.

jog on
d998

 

[Profitaker]

Splitlink

Questions on his margin requirements would surely expose the Soc for what he really is. Best not ask, else you will be held in contempt of the funny farm. LOL

 

[Profitaker]

BTW, DJIA down 112 as I type. No doubt we'll see an IV spike in the FTSE tomorrow, especially OTM puts. What fun to hear tomorrow of his "adjustments". Bet old Soc's glad he's only paper trading.

 

[superfly]

Vote

interesting experiment.
currently dont know enough about options to vote or trade them.
till i educate myself
my premises is
certain marketconditions/strategies/timeframes
will favor calls
and some will favor puts.

take care

 

[Hook Shot]

BTW, DJIA down 112 as I type. No doubt we'll see an IV spike in the FTSE tomorrow, especially OTM puts. What fun to hear tomorrow of his "adjustments". Bet old Soc's glad he's only paper trading.

Did someone say OTM puts.... ?
March Ftse 6100 P hit 52.6 to buy when Ftse cash was quoted at 6320 late Wed.
They are a bit higher now .....

 

[Splitlink]

This is the second time this week that Socrates is going to be sitting in his pyjamas and , probably, missing his Weetabix, while watching the action on this morning's options market. To have open 18 naked written puts in this market, whether it recovers today, or not, is nothing short of madness according to my trading mentality-

Would someone, please, keep an eye on that person who bought 1000 puts from Bulldozer yesterday for 45p.?

I may have to eat my words but, what the hell, I've still got my money!

Split

 

[Profitaker]

As predicted, front month ATM vols up 1% to 12.7%. If I was bullish on the market I might think about selling the Apr07 6025 Puts, currently 85-90 LOL

 

[SOCRATES]

Trade number 8 Written 3 April 5925 puts FTSE 100 INDEX @ 65 filled, Thank You.

 

[Splitlink]

Too hairy and too much margin requirement for me

Split

 

[SOCRATES]

And another 3...

Trade number 9 written another 3 Apr 5925 FTSE 100 Puts Filled again @ 65. Thank You.