approximating gamma in your head
mental math on gamma
oil options and the raw gamma paradox
gamma and calendar spreads
the moontower bridge
an opinionated way to marry options to investing
sticky vs floating strike
modeling vol surfaces
embedding spot-vol correlation in option deltas
skew delta
Earnings IV Glide Path
shadow theta when an event is approaching
HOOD: A Case Study in “Renting the Straddle”
earnings extraction example
Pricing 0DTEs
intraday decay
Positive delta puts
Selling puts in squeezes
Options on Levered ETFs (part 2)
Last week, in part 1, we backfilled prerequisite knowledge: 1. Distance in return space: equal percentage moves aren’t equal in compounded or log space 2. Vol bonus vs vol tax: trend and chop change the distribution of a levered asset 3. Derivatives-on-derivatives: options on the underlying ETF are inputs into pricing options on the levered ETF. 4. Vega convexity: OTM options have “vol gamma” or volga which makes their sensitivity or vol changes vary depending on the IV level. This is not t
Option on Levered ETFs (part 1)
“They” say human labor will be irrelevant by 2027. By then, any business you can think will be solved by capital (electricity and tokens) before you brush your teeth in the morning. You either get rich in the next year or join the permanent underclass. So we aren’t shocked that the hottest fads in investing is pure return fuel: * double, triple, even 5x levered ETFs * options (record volumes, with nearly 2/3 of SPX options in 0DTEs!) You’re not gonna break outta that underclass clipping 10
the art of paranoia
stubborn assumptions die hard
Our newest feature: TRADE IDEAS
How parallel coordinates turn four volatility metrics into actionable trade structures
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
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