vol trading is easier than directional trading
every industry has its challenges
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VIX futures vs VIX synthetic futures
law of one price in action
what hides in the option chain
things to watch for in option chains
so you're interested in trading
resources for beginners
implying the cost of carry in options
the basis of arbitrage and vol surface modeling
how overconfidence and confirmation bias create reinforcing loops
The most prominent decision biases in investing
my read on the market from the option lens
Commentary on the current market
the easiest win in options is for stock traders
how NOT to incinerate money
Learn put/call parity with this free game
The speed game we played as we learned put/call parity
Explaining gamma with a simple simulator
An interactive simulator to understand gamma scalping and delta hedging
shadow theta
continuation of the discussion on time spreads through the eyes of a vol trader
how I explained vol drag to a 12-year-old
start squaring a number N then seeing what happens as you multiply 2 numbers whose average equals N
how I understand the Black-Scholes formula
an intuitive way to visualize the Black-Scholes formula
the GFC through a quant's eyes
the subprime crisis from both real-world and quant perspectives
calendar spreads through the eyes of a vol trader
simulating a time spread
Betting on PLTR to $40
Vertical spreads in action
Risk and Edge
timing the market
how a trader can stop the urge to time the market
Risk and Edge
Vol drag is misunderstood...until now
Vol drag does NOT change the mean or expected return. It affects the return you are most likely to experience.
How Markets Work
"turds floating to the surface before the flush"
liquid and levered lead while illiquid and indirect lag
Risk and Edge
Why meme stock put spreads look expensive
How vol drag influences vertical spreads
Risk and Edge
the 80/20 hack for "risk-adjusting" returns
Forecasting your actual compounded return
Options Theory
using elementary school geometry to explain gamma
gamma p/l is the same as distance covered via acceleration
the dirties are down the cleans are up
On June 2nd I tweeted: June expiry in USO vol change on the 3% rally... OPEC agreed over the weekend to hike production...but you saw the Ukraine-Russia developments. Competing bullish/bearish effects Vol is lower today if you look at the June surface. But it's probably up
Risk and Edge
The "most important" gambling topic and a riddle
Non-self-weighting strategy
Risk and Edge
the investment industry is a placebo
Uselessly long feedback loops mean investing is an act of faith
Netting risk, “The Hopeless”, John Arnold and more
a wide smattering of finance nerdom
The variable that balances the buy/rent equation
You’ve solved one equation with one unknown a million times. For example: $20 - 2 * $8.99 = X where: X = how much change you are owed after handing over an Andrew Jackson for 2 hot dogs at Wrigley Field. In finance, this uneventful operation is dressed up with the
two vol trader interview questions
practice with volatility time
How Markets Work
how I sold cotton at an all-time high
The cotton market as a unique example of when derivatives become the underlying
Options and Volatility
Our big TSLA covered call study
Selling covered calls in TSLA for the past 6 years
Options Theory
Options as LEGOs
How to explain options and put-call parity to absolute beginners
Options and Volatility
shortcuts to get implied vol from a straddle
more option math tricks