In this episode, recorded the day before Thanksgiving 2016, Brian is joined by Mark, and they take on listener questions and comments.
This includes:
Options#QuestionOfTheWeek:
Great traders need many weapons in their arsenals. But everyone has a favorite. What is yours?
- Vertical/Ratio Vertical
- Iron Condor/Iron Fly
- Straddle/Strangle
- Covered Call/Short Put
What is Brian's answer? Long Butterflies!
Listener questions include:
- When the market is rallying, what's wrong with just buying calls?
- Has anyone studied the effect of selling weekly options vs monthly options INCLUDING commissions? Seems like that would be a big factor when writing so many contracts.
- Are skip-strike butterflies the same thing as broken wing butterflies?
- Why trade volatility versus direction or income?
- Discuss the delta of VIX
