Best Thread The Options edge (Writing Vs Buying)

[ducati998]

So which of you simplistic risk reward categories would that come under
Limited Loss / Limited gains.
Limited Loss / Unlimited gains.
Unlimited Loss / Limited gains.Unlimited Loss / Unlimited gains
Lets see you Wriggle your way out of that one if you can.

Let's go for #2

jog on
d998

 

[CYOF]

Priceless

I don't have to do anything.

For your information....Standard Deviation / Sigma is to options what petrol is to a car. I suggest you go and do some studying instead of spending all your time destroying yet another T2W thread. No shortage of books on the market and I suggest you start with "Options for Dummies".

Do you really mean "I don't have to do anything" or "I don't know how to do anything" :cheesy:

You posted the following in post #6

http://www.trade2win.com/boards/showthread.php?t=17620&page=1&pp=10
***********************************************
DB – good post ! More like that needed.

1) leptokurtotic is not a distribution, it’s a higher moment of the normal distribution. Where the value of Kurtosis is more than 3 it’s said to be Leptokurtic, less than 3 Platykurtic. Kurtosis of 3 describes a normal distribution – and very few distributions are perfectly normal.

2) You seem to be describing increasing volatility ?

3) Good point and agreed. But it’s more of a practical consideration as you say.

a) Being able to buy back a short option position and then simultaneously sell another (roll) has no bearing on edge. An option buyer has the ability to roll too.

b) All probabilities and outcomes are considered in any model. I don’t quite follow what you’re saying ?
************************************************8
Now, can you please explain to us what you mean in 3 a)???

a) Being able to buy back a short option position and then simultaneously sell another (roll) has no bearing on edge. An option buyer has the ability to roll too.

Thank You

 

[zupcon]

You again open your mouth for more rubbish to escape..

No I wrote a response to an Internet forum, I didn't actually speak to you, are you hearing voices again perhaps ?

Why should I discuss what you put forward, when you have admitted that you know nothing about options.

Because your claiming the article provides conclusive evidence, and I dont think that it does. I spotted what I believe to be a major flaw in the analysis, this has been confirmed by others, who's knowledge of options far greater than yours (as is mine in all likelihood). If you fail to respond appropriately, I and others will probably conclude that you dont have a clue, and are incapable of engaging on any other level other than that of a troll, here to cause mischief.

Have I not stated that the best way to learn is to speak to those that KNOW, not those that DONT KNOW.

Yes you have stated that and I have stated that you are clearly not qualified to tell the difference between someone who knows, and someone who dosnt know, I know this to be correct both from and your own admission, and by my analysis of the situation.

You can try and twist things as much as you like, and keep on interfering, but if you and the other interferers want to debate academic volatilities, then by all means go ahead.

I havnt even brought up the subject of volatility Im still trying to get an answer to a basic question I asked concerning the experimental method employed by John Summa, and you are see, are still struggling to answer the question

keep up the good work Im sure 3.4S must be proud of their little soldier

 

[barjon]

I'm not sure why I'm bothering but I see you've been at it again while I've been collecting grandaughter (15 trees down across the road so don't go out lest you have to). I've deleted a few but some iffy stuff remains.

Please keep it civil and constructive. Pretty please

jon

 

[Profitaker]

Now, can you please explain to us what you mean in 3 a)???

a) Being able to buy back a short option position and then simultaneously sell another (roll) has no bearing on edge. An option buyer has the ability to roll too.

Thank You

Which part don't you understand ?

 

[ducati998]

That post was deleted far too quickly.
Black swan events, 9/11, 1987 crash etc are absolutely trades for BUYERS of Options.
Sellers [Writers] on the other hand [dependant upon position management] will lose, and lose big.

The basics of Options seem to have eluded you, never mind the slightly esoteric.

jog on
d998

 

[CYOF]

No I wrote a response to an Internet forum, I didn't actually speak to you, are you hearing voices again perhaps ?

You are again INTERFERING


Because your claiming the article provides conclusive evidence, and I dont think that it does. I spotted what I believe to be a major flaw in the analysis, this has been confirmed by others, who's knowledge of options far greater than yours (as is mine in all likelihood). If you fail to respond appropriately, I and others will probably conclude that you dont have a clue, and are incapable of engaging on any other level other than that of a troll, here to cause mischief.

WHAT - Did I not say that these are the basics - a foundation for those that do not KNOW anything about options - which - by the looks of things - you and you interfering buddies should read about 64 times - but do not take all of it to heart - for it is an overview - that is all - it shows what the Professional trade in 3 glances at the pages -but then again - what would you expect:cheesy:


Yes you have stated that and I have stated that you are clearly not qualified to tell the difference between someone who knows, and someone who dosen't know, I know this to be correct both from and your own admission, and by my analysis of the situation.

Your analysis is about as much good as a money analysing a banana - for we all know where it is going to end up :cheesy:


I havnt even brought up the subject of volatility Im still trying to get an answer to a basic question I asked concerning the experimental method employed by John Summa, and you are see, are still struggling to answer the question

Who said anything about experimenting????? Are you really that silly????

Come on man, do I not only have to hold your hand, do I have to spoon feed you as well. I have already dropped hints - go back and read Quasimodo - but then again, you did not read it before, so why would I expect you to read it this time :cheesy:

keep up the good work Im sure 3.4S must be proud of their little soldier

If only you knew what really happens at the ELITE 3.4S CLUB, I can guarantee you the smile would be quickly wiped off of your face, and once you see that you can change your life forever, then you might respect people for what they KNOW, not what they SAY :idea:

You have blown it - for whatever chance you had is now gone - so I would not try again if I were you -oh, you forget to tell your friends that you tried before, sorry about that, but I didn't mean it intentionally, for when I speak THE TRUTH any TRUTH is likely to come out.

Do you want me to continue

 

[zupcon]

Do you want me to continue

Yes why not.

 

[CYOF]

I'm not sure why I'm bothering but I see you've been at it again while I've been collecting grandaughter (15 trees down across the road so don't go out lest you have to). I've deleted a few but some iffy stuff remains.

Please keep it civil and constructive. Pretty please

jon

Jon,

Why is that every time I start a decent discussion - and it does not matter whose thread it is in - for no one OWNS a thread, it is a public forum, the same people come in and start twisting things.

When they are presented with FACTS that they do not agree with, they come out with all silly types of accusations and insinuations.

Are we ever going to be able to talk about how REAL TRADING is done on T2W, or are we supposed to accept that ther textbook approach is the only approach.

For, that is indeed censorship, and that is ,in fact, far worse than what The Thirty ever done.

What do you think, really?

 

[ducati998]

Do you want me to continue

How about addressing the questions posed to you.
You know you're in trouble when even old Soccy jumps ship.

All the waffle about 3.4S.........no one is remotely interested. Time to put up, or just vacate the premises.

jog on
d998

 

[ducati998]

Jon,

Why is that every time I start a decent discussion - and it does not matter whose thread it is in - for no one OWNS a thread, it is a public forum, the same people come in and start twisting things.

When they are presented with FACTS that they do not agree with, they come out with all silly types of accusations and insinuations.

Are we ever going to be able to talk about how REAL TRADING is done on T2W, or are we supposed to accept that ther textbook approach is the only approach.

For, that is indeed censorship, and that is ,in fact, far worse than what The Thirty ever done.

What do you think, really?

Save the waffle.
Place an example trade.
Everyone can then discuss the risks, rewards, and management.

jog on
d998

 

[barjon]

Jon,

Why is that every time I start a decent discussion - and it does not matter whose thread it is in - for no one OWNS a thread, it is a public forum, the same people come in and start twisting things.

When they are presented with FACTS that they do not agree with, they come out with all silly types of accusations and insinuations.

Are we ever going to be able to talk about how REAL TRADING is done on T2W, or are we supposed to accept that ther textbook approach is the only approach.

For, that is indeed censorship, and that is ,in fact, far worse than what The Thirty ever done.

What do you think, really?

Well, what I really think is that if people wish to discuss a topic seriously the facts need to be presented clearly with sufficient evidence to conclude that it is a fact and not an opinion. When facts are presented as a sort of fait accompli without sufficient back up evidence they are likely to be regarded as opinions and justifiably questioned. When that happens it is simply not constructive to baldly (or confrontationally) state that the questioner is wrong/ a fool/ or whatever. The evidence of the fact needs to be there.

The jury gets to the truth on the basis of the evidence presented not the mere say so of counsel.

cheers

jon

 

[CYOF]

Yes why not.

Well Zu, as much as I would like to, I can not.

Also, most of what I would say CANNOT be taught on Forum boards :idea:

It can only be taught in a room for 3 days.

Then, after the 3 days, if you have grasped it, you can then move into the ELITE CLUB, which just happens to be called The Platinium Lounge.

But, notice I have not said the ELITE 3.4 S CLUB - just in case anyone is under any false illusion, for if it is one thing you can be sure of, that is, you will be under no false illusions in the Platinum Lounge. You will get no time wasting there. Nothing only winning Option trades the majority of the time - I say the majority, for to get 9 out of ten trades correct is not 100%, but is the closest I have ever seen

But you are finished - you have blown your chances, and it just so happens, that over on the website at ww.citybulls.com, there also appears to be a lot of monkeys, But John C BULLDOZER, been the MASTER TRADER that he is, came up with very simple and logical solution.

Yes, you guessed right - a MONKEY CAGE.

To prevent contamination of the members, John C BULLDOZER has rightly put any monkey in his right place - so immediately - any new member can see who the monkeys are, and what type of oh,oh,oh comes out of their monkey mouths.

A brilliant solution, if I do say so myself, and it is something that I would never have thought have, so JC BULLDOZER, I still have a bit of catching up to do on you, but beware, for I am a very fast learner, and that is purely because I speak THE TRUTH at all times, and I also have knack for spotting the FACTS, which you know, are the reasons why I am now in the ELITE 3.4S CLUB.

But, as we both know, the type of race we are talking about is for a good cause, and in that effect, it is the best of both worlds. You are a good man JC, and keep up the good work, for you and your like are very few indeed -for you are indeed, not only a MASTER TRADER, but a Gentleman as well.

Well done - and keep up the good work.

Regards,

 

[ducati998]

more waffle

 

[SOCRATES]

As before, the information you need is below, and is posted for the benefit of newbies and visitors:~


No1 http://www.trade2win.com/knowledge/...the-cash-cow/?r

No2 http://www.investopedia.com/article...r/03/100103.asp

No3 http://www.investment-tools.com/options_reports_1.htm

and these are TRUE FACTS and not opinions.

 

[trendie]

Save the waffle.
Place an example trade.
Everyone can then discuss the risks, rewards, and management.

jog on
d998

HEAR! HEAR!

Real-time, real-life examples please.

 

[Jack o'Clubs]

As before, the information you need is below

No1 http://www.trade2win.com/knowledge/...the-cash-cow/?r

No2 http://www.investopedia.com/article...r/03/100103.asp

No3 http://www.investment-tools.com/options_reports_1.htm

and these are TRUE FACTS and not opinions.

As far as I can see...

No1 is a beginners article covering definitions.
No.2 is a dud link
No. 3 is also a beginners article covering definitions.

I assume therefore that this is a bit of an 'in-joke' Socrates, no?

 

[SOCRATES]

As far as I can see...

No1 is a beginners article covering definitions.
No.2 is a dud link
No. 3 is also a beginners article covering definitions.

I assume therefore that this is a bit of an 'in-joke' Socrates, no?

No... ..a snarl up in transferring links for some reason, sorry.

 

[zupcon]

You are again INTERFERING

No I am simply trying to get a question answered (to be precise, 2 questions now)

WHAT - Did I not say that these are the basics - a foundation for those that do not KNOW anything about options

No, both you and bulldozer claimed that the articles where the "missiles" that provided conclusive evidence, I asked a simple question regarding one of the statistics quoted, you panicked, and now you are stating that the document is a basic introduction, stop back peddling please.

Your analysis is about as much good as a money analysing a banana - for we all know where it is going to end up

If you wish, I can post verbatim from Bulldozers forum, where you quite openly admit you have little experience and seek assistance, someone in this position is clearly unable to differentiate between sound advice, or otherwise. You claimed to be clueless and my analysis simply confirms this

If only you knew what really happens at the ELITE 3.4S CLUB, I can guarantee you the smile would be quickly wiped off of your face, and once you see that you can change your life forever, then you might respect people for what they KNOW, not what they SAY

Thankfully I dont know what goes on at 3.4S, nor do I particularly want to know, Im looking at this thread as an impartial observer, I dont need your advice, or bulldozers. Rest assured that changing my life is something that I really dont want to be doing thanks I respect those who earn it, nothing more and nothing less.

You have blown it - for whatever chance you had is now gone - so I would not try again if I were you -oh, you forget to tell your friends that you tried before, sorry about that, but I didn't mean it intentionally, for when I speak THE TRUTH any TRUTH is likely to come out.

If Ive blown it then thank god for small mercies, really who in their right minds would want to associate themselves with an Elite who currently believe and I quote "CYOF is now showing openly his new learned talents and skills at option trading. The guy is fast becoming a genius"

That says it all really

 

[CYOF]

Well, what I really think is that if people wish to discuss a topic seriously the facts need to be presented clearly with sufficient evidence to conclude that it is a fact and not an opinion. When facts are presented as a sort of fait accompli without back up evidence they are likely to be regarded as opinions and justifiably questioned. When that happens it is simply not constructive to baldly (or confrontationally) state that the questioner is wrong/ a fool/ or whatever. The evidence of the fact needs to be there.

The jury gets to the truth on the basis of the evidence presented not the mere say so counsel.

cheers

jon

Thank you for that Jon,

And I agree 100%.

Now, what I see is that, the degree of FACTUAL CONTENT in any material will be determined by the reader, and what his frame of reference, ot viewpoint is.

So, this has the effect of blinding the real FACTS.

Now, in order to get the real FACTS, we must go the where the FACTS can be got.

And as we are talking about TRADING on this site, and more importantly TRADING FOR PROFITS, as that is the GOAL OF EVERY MEMBER, in some form or another, then all that really matters is the RESULTS OF TRADING.

I have tried to state this many times - but I keep been put down and pushed aside, but I now think everyone gets the picture.

We can all talk and waffle all we want, we can talk about historical volatility, implied volatility, options pricing models, delta, gamma, theta, etc, etc, etc,

BUT UNLESS WE CAN SHOW THE RESULTS ALL OF OUR TALK IS IN VAIN

And, this is what I have been trying to tell people, YOU MUST LOOK FOR THE PROOF.

Now, the next question is WHERE IS THE PROOF, so that I NOW KNOW THIS IS INDEED THE FACTS.

Well, I can assure you, if you are really interested in learning about trading OPTIONS, you will get all the proof you need in the ELITE PLATINUM LOUNGE -guaranteed.

If not, you can come back here and say "CYOF", you are a liar.

But you see, CYOF never lies, it is against his nature, it is something that he just can not do, and the reason CYOF can not lie, is because he fully understand the Immutable Laws.

The Laws are immutable - and this means that no matter how hard we try, ot how hard we twist things to suit our frame of reference, we can not, EVER change them.

When will people realise this FACT OF LIFE, and when they do, be prepared for some major changes in your life.

You might all think that CYOF is a FOOL, but CYOF is far from been a FOOL.

CYOF, been I, am just an ordinary man with basic educational qualifications, no university schooling or anything like that, but, I am a DO PERSON, and people that DO things question everything, and by questioning we eventually start to see the real truth, how we are all like puppets at the hand of the powers that be, and as I have already explained how all this has happened throughout History, which btw, is backed up by the few real teachers that I know of, I will not explain it all again.

So, look for THE SOURCE OF FACTS, and you will find what you are seeking.

I hope this helps some, as it has helped me greatly in life, and will continue to so for the short time I have been given on this great Earth.

Remember, your intuition is only of use if you make use of it - if you continue to shut the door every time it is opened, it will eventually swell up at the hinges and slam shut forever.

Your future is entirely in your own hands -not in anyone else's - always remember that :idea:

I must go now, but I will answer the remaing questions tomorrow.

Have a nice evening all.

Regards,