Rotating a Risk Chart

Rotating a Risk Chart

One of the reasons I like option trading is you can be so creative. Buying a stock or future is one of two lines: sloping up at 45 degrees or sloping down and -45 degrees. That's it. With options, we have so much more flexibility. I gave a presentation on option...

Anybody Can Trade Options

My wife and I have suddenly become addicted to My Kitchen Rules and MasterChef Australia. Naturally, this has us constantly thinking about the cooking world and perhaps visiting Australia to partake of the outstanding food found there!  I read a really good article on...
SPX Jul 17 Broken Wing Butterfly

SPX Jul 17 Broken Wing Butterfly

Time for a new trade in SPX. Another broken wing butterfly trade expiring on Jul 17th with 28 days to expiration. The eight lot of puts are at 1950/1930/1870. The 1930's were about a -22 delta. The trade was put on with a little smaller credit than I like, but it's...
The Big Fish are Eating the Smaller Fish

The Big Fish are Eating the Smaller Fish

According to Crain's Chicago Business, a New York private-equity firm is planning to take control of OptionsHouse LLC and TradeMonster Group Inc. by investing in both of them and then merging the two companies. General Atlantic LLC is purchasing OptionsHouse from...