Posts
NVDA and TSLA closed below their gamma flip. Five mega-caps closed above their call wall.
Ran dealer gamma on the 14 most-traded single names at Friday's close. They split cleanly into two groups, which I haven't seen this stark in a while. # BELOW THE FLIP — negative gamma, dealers chase the move, so ranges break instead of holding: \- TSLA — spot 348.12, flip …
SPX Held 7700 All Day Friday After Rejecting 7770 and SPX 7650 Could Be Next Level Down (8/28)
Friday's real move came after the Warsh speech, which pushed SPX up toward 7770 — the day's call wall. At that point in the session the level was only lightly built (low open interest concentration behind it), and the market still got rejected hard off it. Sometimes it doesn't take …
Is 0.70 Delta Really Enough to buy LEAP? (BE vs NVDA)
Most YouTube LEAPS gurus talk a lot about delta: Buy 0.70 delta. Buy deep ITM. Get more stock-like exposure. Become financially free like them and all their subscribers… But almost nobody talks about **Premium at Risk** — option premium / stock price. And how much you should agree to pay …
Trading in Low IV environment
Hey everyone! It’s my first year trading options so would appreciate some guidance. I’m up \~66% YTD, but essentially all my profits have come from selling \~0.20–0.30 delta puts on AI/semiconductor/software names (NVDA, LRCX, BE, etc.). Given how well that part of the market has performed, I’m very conscious that …
Advice, please?
I wrote a bear call credit spread on MSFT about 10 days ago. Oct. 2: 510/515, 149 credit. The underlying blew through my short position (513 at this writing). My thought is to write a Put spread to minimize loss while there is still extrinsic value to be had, thinking …
I bought 24 years of SPX options data to test Spitznagel's published tail-hedge - interesting result
Been wanting to do this for ages. People like to cite Spitznagel's tail hedge from Dao of Capital (sometimes inaccurately). Nobody knows what he does at Universa but he outlines a basic strategy that should pay off in a historically expensive regime (like now) — 0.5% of the portfolio each …
Using the Show or Fill rule to trade wide B/A spreads
There is discussion on wide NDX b/a spreads now. [https://www.reddit.com/r/options/comments/1w12ccc/ndx\_bidask\_spreads/](https://www.reddit.com/r/options/comments/1w12ccc/ndx_bidask_spreads/) I learned of the Show or Fill rule many years ago when I started to trade naked NDX options. The rule, also called the Limit Order Display rule, requires a limit order must either be displayed on the market order …
SPX Straddle on scheduled news
Anyone here trade SPX options around scheduled news using opposing stop-limit orders? I had both a call and put armed above the current premium so whichever side exploded at 10:00 AM news yesterday would trigger first. Only the put triggered, but I was instantly deep red and it got worse …
ITM CSP on $MSFT, crazy?
I know this comes as an uncommon practice so feel free to either roast me or ask questions on why I did it : ) Keeping it short and simple below.. Reasons: 1) Revenues are from multiple different channels. 2) Generated significant quarterly free cash flow while at the same …
0DTE credit spreads on SPX. Worth it to you?
I know people are going to be all over the place on this but I wanna get a true pulse here. How many of you actually do this with good risk management all/most trading days? I have made a decent effort to employ my strategy this year. I mostly sells …