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The Really Useless Thread

  • #62,501
  • Mar 6, 2012 9:14pm Mar 6, 2012 9:14pm
Quoting PayTheLimit
do you want to play a game..
global thermonuclear war sir
  • #62,502
  • Mar 6, 2012 9:16pm Mar 6, 2012 9:16pm
Quoting fxjawn
global thermonuclear war sir
take us to defcon 3...
Look Sharp/Trade Tight
  • #62,503
  • Mar 6, 2012 9:19pm Mar 6, 2012 9:19pm
monthlies..
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Look Sharp/Trade Tight
  • #62,504
  • Mar 6, 2012 9:30pm Mar 6, 2012 9:30pm
still short my full line, looks like I might have to withstand a test of 3169, not sure what to do really, still like a chance at 3066/74, but looking at the monthlies, might have to play for last months low, 2974..guess I'll wait for LO before I make some sort of decision...
Look Sharp/Trade Tight
  • #62,505
  • Mar 6, 2012 9:36pm Mar 6, 2012 9:36pm
Quoting PayTheLimit
still short my full line, looks like I might have to withstand a test of 3169, not sure what to do really, still like a chance at 3066/74, but looking at the monthlies, might have to play for last months low, 2974..guess I'll wait for LO before I make some sort of decision...
have u just been doing 1 trade a week? if it goes it goes type thing
  • #62,506
  • Mar 6, 2012 9:39pm Mar 6, 2012 9:39pm
dear fxjawn,


SUCK IT!
  • #62,507
  • Mar 6, 2012 9:43pm Mar 6, 2012 9:43pm
Quoting fxjawn
have u just been doing 1 trade a week? if it goes it goes type thing
more like 2-3 a week it seems, but not by design so much, just trying to be more selective as to where I take my shots..
Look Sharp/Trade Tight
  • #62,508
  • Mar 6, 2012 9:59pm Mar 6, 2012 9:59pm
bbl..
Look Sharp/Trade Tight
  • #62,509
  • Mar 6, 2012 10:22pm Mar 6, 2012 10:22pm
since we broke a tl.. 3188 or 3194 is doable. 3155 is still a r and the others already posted.
those who can, do. those who cant, talk about those who can
  • #62,510
  • Mar 6, 2012 10:55pm Mar 6, 2012 10:55pm
Quoting PayTheLimit
bbl..
PTL.. if you were the interviewer.. what would a good question about the option pricing theory look like??
  • #62,511
  • Mar 6, 2012 11:14pm Mar 6, 2012 11:14pm
Quoting darimik
PTL.. if you were the interviewer.. what would a good question about the option pricing theory look like??

tough call bro, guess it depends on the type of firm your looking at..I would guess that equity/fixed income guys will try to ask you for the variable's in Black Scholes, which are more key, and how the relate, they might ask you about warrant pricing..commodities guys will prolly focus more on implied volatility...I had a guy ask me to give him a bid/offer on an option which he gave me the parameters for, with out pencil and papper, ofc I was off by a mile, lol..what type of firm is it?
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  • #62,512
  • Mar 6, 2012 11:17pm Mar 6, 2012 11:17pm
Quoting gatorinla
since we broke a tl.. 3188 or 3194 is doable. 3155 is still a r and the others already posted.
what about 3164/69, anything to hang my hat on there?
Look Sharp/Trade Tight
  • #62,513
  • Mar 6, 2012 11:20pm Mar 6, 2012 11:20pm
all i know is u quote the lil one first
  • #62,514
  • Mar 6, 2012 11:21pm Mar 6, 2012 11:21pm
Quoting fxjawn
all i know is u quote the lil one first
Look Sharp/Trade Tight
  • #62,515
  • Mar 6, 2012 11:22pm Mar 6, 2012 11:22pm
Quoting PayTheLimit
  • #62,516
  • Mar 6, 2012 11:29pm Mar 6, 2012 11:29pm
Quoting PayTheLimit
tough call bro, guess it depends on the type of firm your looking at..I would guess that equity/fixed income guys will try to ask you for the variable's in Black Scholes, which are more key, and how the relate, they might ask you about warrant pricing..commodities guys will prolly focus more on implied volatility...I had a guy ask me to give him a bid/offer on an option which he gave me the parameters for, with out pencil and papper, ofc I was off by a mile, lol..what type of firm is it?
market maker... equity, fixed income, commodities... I should also know the open outcry basics as I think it will be relevant..

black and scholes is alright.. and implied volatility is just a volatility based on the current option price ? if used in a pricing model it gives you a value of the current market price?

also, implied volatility can be used as a quote, instead of the actual option price?

I also heard they like to randomly ask things like 35x35 or 79x99...
  • #62,517
  • Mar 6, 2012 11:31pm Mar 6, 2012 11:31pm
whats the news with facebook, cyber attack?
Look Sharp/Trade Tight
  • #62,518
  • Mar 6, 2012 11:38pm Mar 6, 2012 11:38pm
Quoting darimik
market maker... equity, fixed income, commodities... I should also know the open outcry basics as I think it will be relevant..

black and scholes is alright.. and implied volatility is just a volatility based on the current option price ? if used in a pricing model it gives you a value of the current market price?

also, implied volatility can be used as a quote, instead of the actual option price?

I also heard they like to randomly ask things like 35x35 or 79x99...
they might ask you to estimate just about anything, from how much the state of texas weighs, to how many ice cubes you could fit inside the moon, they are more interested in how you derive you answer..

yea, implied is what the market is forecasting this second, thus it will/should equal the fair value of most options on the board..

and yes, they quote it often, so if front month, or one-month implied vol is say 13%, a market maker will quote you 12% bid at 14% offer...
Look Sharp/Trade Tight
  • #62,519
  • Mar 6, 2012 11:41pm Mar 6, 2012 11:41pm
Quoting PayTheLimit
they might ask you to estimate just about anything, from how much the state of texas weighs, to how many ice cubes you could fit inside the moon, they are more interested in how you derive you answer..

yea, implied is what the market is forecasting this second, thus it will/should equal the fair value of most options on the board..

and yes, they quote it often, so if front month, or one-month implied vol is say 13%, a market maker will quote you 12% bid at 14% offer...
competition is tough.. do you have any idea what general qualities stand out for firms like that?
  • #62,520
  • Mar 6, 2012 11:47pm Mar 6, 2012 11:47pm
Quoting darimik
competition is tough.. do you have any idea what general qualities stand out for firms like that?
its a difficult question, depends on who is doing the asking..but the usual stuff, math skills, confidence, etc..plus things have changed now since its gone upstairs on the machines...there used to be a options firm in Chicago that only hired guys that were at least 6ft tall, and captains of some type of high school team...those guys where giants, lol, they wanted big guys because of the advantage it gave them in fighting for orders in the pit..
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