Posts
The Case For $5-Wide Spreads
I do not try to outsmart the market and I really don’t believe that is possible. I simply trade what is in front of me with lots of small winners (85%) and a few small losers. Over time those wins have added up. One of the ways I do this …
Vanguard vs Robinhood Payment for Order Flow - The Reality?
Robinhood is well known for participating in payment for order flow. But how does this actually affect options order executions in reality? I typically sell 30 - 45 DTE puts on XSP, and the average bid-ask spread is about 10 to 15 cents. Currently, I'm using Vanguard and I'm able …
I stopped journaling option spreads using the mark price
Something I only recently started paying attention to is how misleading the P&L on a multi leg position can get during a fast move. I had a QQQ debit spread open while trading the same directional move on Moon. The underlying trade was behaving pretty much how I expected, but …
USO put
bought a USO put for Sept 2027 expiry. i am figuring on Fed Rates and Mid-Terms will help drop the price of Crude. the current oil market is an illusion. we have plenty of Oil but are not refining it into diesel fuel. the PPI and CPI numbers are fabricated. …
Done ranking of variety of strategies
https://preview.redd.it/cielvjazdvph1.png?width=924&format=png&auto=webp&s=cb34d8a641603dca57ec6bdad6cfa00f14a7cd91 I tried to contain the research to one day, so the dataset is limited. It is quite revealing though how poorly some VRP strategies performed. They won often, then a few large losses took back much of what they made. |\#|Strategy|Trades|Mean per trade|Win rate|Sharpe|Max drawdown| |:-|:-|:-|:-|:-|:-|:-| |1|Covered call|186|\+0.76%|69.9%|0.77|\-24.13%| |2|Protective …
Front Month IV problems in double calendars
I’m currently running a double calendar which I opened on Monday of this week, my shorts expire this Friday and my longs expire the next Friday. Price in the underlying has barely moved, IV has inflated proportionately on both my longs and my shorts and the value of the calendar …
Selling CSPs - monthlies vs yearlies?
I wanted to sense check my thoughts on monthly vs longer-term CSPs, using ASTS as an example. **Sentiment**: I am bullish on ASTS with 900 shares and do not mind owning more. **CSPs**: Only started considering CSPs as a way to make some extra cash if I was about to …
Does direction even matter
For those of you writing short vertical spreads. You are writing 20 delta spreads. You have checked all the boxes. Liquidity, volatility, etc. How important is the directional bias, if at all? Since I am counting on volatility for profit, would flipping a coin be as good a strategy as …
0DTE Types: Fed Interest Rate Time Is Here Again
Don't forget to close your positions before 2PM ET tomorrow. Or "today", if it's already Wednesday when you read this.