I’ve been trying to read a lot of books on
Options. Since Options is such a
complicated topic, it’s really hard to learn about it from “one book” because
the depth and technicality of the subject varies greatly across different
books.
Usually there are books that give the basics,
and pump out a lot of “strategies” -> Or basically ways to mix and match
buying/selling call/put options. To me,
these types of books are generally boring.
Once you know your ABC’s, these fancy names aren’t really that special… Candors / butterflies / something bear /
something bull / something spread… Meh.
This book is neither, nor in the middle. Although this book gives strategies for
traders to contemplate on and gets technical on certain aspects about hedging
Greeks… To me, it feels more like a, “Here
are my thoughts on the market as a whole after many years of trading, don’t do
stupid stuff such as XYZ.” Because of
this tone, it feels like you’re reading a book written by a human rather than a
robot.
Some key stupid stuff to not do include:
Don’t take a net short position
Know why your strategy is working (and why it
not)
Markets change (strategies should follow)
Keep the bell curve in mind
I don’t think I ended up using any specific
strategies mentioned in the book. However,
based on new information I learned, I actually came up with new ideas and
looked at new places such as the VIX and XIV.
Check it out. Pretty cool book. Slightly
different flavor than the other books on the market.
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