BSOD – CTRL ALT DELETE – HALT – HELLO WORLD

When I read Paul Ford’s What Is CODE  – recently published in Bloomberg, it resonated with me enough to be inspired in writing just as abstract flash fiction blogs regarding our world of a Turing Machine based binary code, the influences of Apple’s “App Stores” flooding our ultra-mobile high tech market, which amplify the threats that are infiltrating the security of our financial institutions, and the means of which, devising an alternative trading platform that is completely coded unlike anything before, stands out as the priority in my life right now.

Is the threat worse or the massive proliferation of ultra-mobile technology dominating our lives and credit cards?

IF This, Then This…

Ford claims there are an aggregate collection of coders (programmers) around 18 million and growing fast.  He makes a poignant point that you cannot disregard (and I’ve known for a long time after having my computer’s hard drive hacked to death several times) that either programmers are running the world or the programs that they are coding are running the world.

sudo apt-get upgrade

If you stumble upon my blog and read the accounts of this fictionalized – flash written story – you’ll be introduced, rather covertly to the things you NEED to know in regards to developing a vital perspective that challenges your own subconscious bias between myth and fact.  Such as that people think Apple is a superior product.  It is not.

In fact, to date, Apple/Macintosh is a wanna be Android, given that baseline syntax used for all operating systems is Unix/Linux based.

The Apple Watch is only the means of which to keep its customer base tethered to having to have their other products to find satisfaction of functionality.  Blindly spending more money on something that is inferior reeks of the irrational behavior of a “skewed” debt driven economy that make Bitcoin more attractive each day we face another economic crisis.  Have you bought a Mycelium Wallet yet?

You can Ubuntu-ize your life to make it much easier to manage the “terminal codes” of which both Microsoft and Apple are terminally ill because the collective “they” programmers, are like all writers of anything – Asemic to Linguistic Tongues – they have to put their own spin on it, plagiarizing that which was the original Basic Word.

is pal: {x -|x }

Moreover, he Proof of Concept trading model: CODEXCELIAN can give you the robust absolute critical knowledge of understanding equity mechanisms.  2 + 2 = 4.

The Turing Test 

Notable physicist Roger Penrose pays the deepest respect to Alan Turing in his white paper on living  a computer driven lifestyle.  It is without a doubt a truth of which sadly one of the greatest minds of the 20th century was destroyed by homophobic zealots.

But then there is Ada Lovelace, Linda B. (UNIX coder) and others who pioneered the course of technology to what we know of it as managing, or at the very least obstructing through complications of Blue Screens of Death in our lives today.

This is how I arrived at the title of my story:

“WRITE HIM OFF – Z EQUALS ZERO”

We live in a world economy based on the Pareto Effect.  Our very own perception and/or motivation to claim our individual right to be selfish enough that it is the way to attain our construed dreams of fulfillment, are guided and  molded into this belief system that for one to gain, another must suffer.

This title reflect it, metaphorically, because story titles are suppose to emblematic of the story’s plot, and my story embraces humanity because I am a human, at least I was mere reflection of one the last time I looked in the mirror.

“Write Him Off” is to imply that the Turing’s Model no longer works, Wolfram, et al are in danger of becoming extinct, just as millions of earthly creatures have disappeared from our wanton gluttony of devouring the earth’s cyclic equilibrium of resources, thrusting our civilization into a quick descent of obscurity.

I mean no insult to Turing, yet it does bear fruit in the manner that he was initially mistreated and then through the course of computerizing society’s history our coders are evolving his mechanism.

“Z Equals Zero” equates into the Greek letter “Zeta”, (you already know what this represents) and Zero as the numerical binary code “0” that streamed down the computer monitors in the movie the Matrix – representing a Zen mindset of “the illusion of nothingness”.

Combined together you have a story plot about the ending of one computerized mindset era and the its code.

SERGM

Then there is the nonfictional aspect of my quantitative model (hint for you coders) that is ready to be programmed for API cloud access, is going to be posted here.  Had you read my article “SERGM” last year, you’d been introduced to a manner of critical thinking that, to my surprised gained me an invitation to join Interactive Brokers “think tank” on writing trading algorithms.

I declined because of the very fact that I would have been pushed into the traditional mainstream polluting belief systems (our synapses transfer data between neurotransmitters at 2 milliseconds, much too slow for CPU programmed high frequency trading programs – clocked at 2 microseconds) of which I am trying to break away from by listening to frequency tones on a daily basis.  Pineal gland activation is a primary function of exiting the Occidental paradigm.

Your own thought process right now is getting jumbled, as the presentation of my own stream of consciousness is skewing the internal perceptions of your limited time frame experiences in life as not equating – both mathematically and psychologically coherent.

We, as humans, can only evolve as fast as our minds can assimilate what we experience – and that comes in holographic fragmented fractal tiles of embedded memory – stored in at least three areas of our cranial machine.

Artificial Intelligence is seriously hampered by this fact as our own mental latency is transferred into the construction of a machine that is mathematically programmed to our cognitive means of critical thinking – running wildly through mega calculations that spin terabite hard drives out of control.

When the algo hits a snag, it halts and goes into the BSOD.   There more inefficiencies within our computer industry than there are common nonsensical approaches to solving the issues that we have already created with due course of conflict resolution.

This opacity causes risks. One study by a researcher at the University of Hawaii found that 88 percent of spreadsheets contain errors.  Paul Ford, What Is Coding?

I’m taking  you into “no man’s land” per se – and this part of it will take a quantum leap of faith on your part to try and remain connected, and focused with impeccable intention – the journey of Don Juan in Carlos Castaneda, and beyond the mouse pointing cursory browsing attention span of three seconds.

In conjunction to this blog site – I’ll be developing a website and YouTube videos that hopefully, once I get the “bugs” fixed will be live Excel streaming (making sure I’ve removed the 88 errors) so you can follow my gleamed equity and option trading signals.

Entropy and Inert Code

It is my intent to introduce you to the future of trading platforms – both through fictional story telling and the actual reality of Lilliputian mechanisms based on abstract constructs, i.e. quasicrystal polyhedral geometrical strategic complex systems embedded with adaptive agent subroutine calibrations that reveal the “pings” of HFT’s shark bait offers.

Be aware that things will be getting “thick” to make you “think” in solving what I will be making more puzzling by not filling in all tilling along the way  That’s your job to exercise your gray matter between your ears.

Finally, I am NOT the guy in the khaki jacket.

Stay tuned, the best is yet to come.  I might even get a Noble Prize.

THE CODEXCELIAN MATRIX

THE TALE OF TWO SPREADSHEETS

RAG PICKER TRADE STATION – THE CODEXCELIAN EXCHANGE

SYNOPSIS: The Codexcelian Exchange crosses at the intersection of “CODE” and “EXCEL”.  The Euclidean coordinates initially written down on “patches” eventually morphed when the patch manifolds were plugged into the Darwinian Blackbox.  The FORX defined a new procedure for us to capture the equation of the true self, thus freeing our lives from the Indiscernible Matrix.

THE REMAINS OF DEF TARCIAN’S CODEXCELIAN MANIFESTO 

TRANSLATED BY

SKOKIE SPIKE

2017

The following summation is all that is left from the extraordinarily eye opening awareness in regards to the advancement of technological micro-device development, based on what is known as the “SPREADSHEET”.

DEF TARCIAN advanced the evolution of the Excel Spreadsheet with what he termed the Codexcelian Model.

The manifesto explaining the Codexcelian Model was banned for distribution by the newly formed CARNELIAN SURVEILLANCE OF THE INTERNET OF THINGS in 2016,  government sub-group to the Central Intelligence Agency, that wasn’t required to be disclosed of its existence to Congress or the American people.

Def Tarcian was a leader in “outsourcing” and “open sourcing” code at the end of the 20th century, up until his disappearance two years ago.  A genius of technology, in his own right, a Nobel Prize recipient was one of the first programmers of Unix in the mid 1980s.

At the time of his disappearance he had been aggressively distributing Raspberry Pi motherboard “packets” that had been programmed with the Codexcelian Model. The Essential USB Encrypted Turing Lock came with the unit.

TARCIAN’S DISAPPEARANCE

 Def Tarcian mysteriously disappeared when visiting his remote lodgings in the Cascade Mountains this past year, 2016. The local Marblemount sheriff’s report stated that
Tarcian, a loner, who lived like a hermit,  must have gotten lost while hiking along one of the treacherous mountain trails.  It was known that at the time of year, extremely fierce storms could materialize within minutes – bringing a torrential rain or snow storm.  His body has never been found.

His cabin has since been raided by local youth, having broken in, obviously trashing the cabin’s spartan furnishings and burning most of Tarcian’s research papers in the wood stove.  The local sheriff closed the case after two months of investigating and searching for Tarcian.  The Federal Bureau of Investigation and Homeland Security were reported to have visited the area during the search.

THE X-INACTIVATION OF THE X-LINKED RECESSIVE GENOTYPE

LYONIZATION: The phenomenon in which heterozygous females do not phenotypically express their X-linked recessive genotype or do so only randomly. Also called X-inactivation .

But if there is X-Activation, it would be extremely important to humanity at this space-time continuum, dissipating any resemblance of global maximum indecernability of the true self.  Def called it the Lyonization Factor; a breakthrough for us to access the Worm Hole: activated by the Planck spreadsheet equated code – when plugged into any PC or tablet: where upon the molecular structure of human form would be cosmically transported one bit per qubit;  freedom to access teleportation into the universe.

IN MEMORY OF IT’S AUTHOR: THE LATE DEF TARCIAN

This revolutionary leap needed to be distributed globally, so a digital algorithm syntax was devised by Def Tarcian.  Tarcian, one or our greatest astrophysicists, found the equation sequence between the Fibonacci Ratio and the “prime number sequence” which was encrypted into the CPU of anyone’s computer.

“Here lies the ambitious juncture – in harmonic resonance with human perception and universal reality” imprinted on each of our DNA.  

Mutation of our species with each off spring is the chance we take, Tarcian wrote, where the measure of certainty collides with irrationality of human generated thought forms and/or deformed.

Thus how would we identify the lower operative “randomizer”?  All human behavior, Tarcian stated, is simply built upon Four Manifolds; which brings equilibrium to our global infrastructure of “economic free will”.

Evolution rejects any life form that is not in harmony with the Four Manifold Frequencies. There is cognitive dissonance at levels far below the individual awareness to see their “in play” interaction as an “Agent” of eliminating the connection between the conscious and subconscious holistic value.

“We are all connected telepathically on the same earth frequency; collective neurological transceiver at birth.  By age 5, our Limbic System has matured to the point where it will use hormones and neurotransmitters to evolve into a transmitting receiver. ransmitted constantly by our DNA coding in conjunction to cellular mitochondria. Neural entrophy prevails as the law of nature:  time decay is our mental Black Hole.

The necessity of survival isn’t about survival, for we’ve been given the gift of immortality if we so choose to live with its coordinates as real ownership of our lives.  But time evolution mimics, with fairly good accuracy, the accumulation of our past memories, stored within our cerebral lobes; activated or triggered to be recalled and projected upon our present moment, just like a movie projector does on a movie screen. Television is a rerun of our past.

THE FOUR PI^ MANIFOLDS

There exists four heterozygous forms that have been built into the computers CPU.   These are sociological, teleological, ethological, speleological. 

THE MANIFESTING HETEROZYGOTE

While the “Elite” continue to survey us, making sure the “media” optic matrix keeps us imprisoned by short circuiting our ability to discern our true identify from the false one.

The phenomenon in which heterozygous females do not phenotypically express their X-linked recessive genotype or do so only randomly. Also called X-inactivation .

We prefer to loop through life; habitual repetition of our species is not that of the strongest, Conners argued, but that who allows themselves to become a conduit of the higher enlightened True Self.

We essentially mastered impeccable intuitive intentions  as the necessity for indeterminate future violations propagated by “Black Holes”.intelligent among us as natural selection for procreation.

Mathematics, Tarcian. claimed is the universes means of playing with a layperson’s ignorance – one who has not found their inner true self. USER FRIENDLY FOR  MSN EXCEL, OPEN SOURCE APACHE, GOOGLE FINANCE SPREADSHEET DOCUMENTS, AND UBUNTU DEBIAN LIBRE Gamification the person seeing an object becomes the object in their mind, such as in Mendelian genetics,

By picking an essentially biometric using the Plank length of 10-33 cm.

existing computation languages in a meaningful explanation used in statistical physics – the ontological and logical

The junction topologies are initiated by Bid/Ask ticket stamping Jobbers when a Turing binary input is sent from a PC/Mac/Ubuntu Retailer who has capitalized their membership with in one of 13 Exchange routes (EXCH-RTE).

This Euclidean coordinate challenged us to find the means of producing a highly efficient platform adaptive finite procedure – the navigational charts of economic assets – uses the overlay of Fibonacci Ratios. All equations to date globally in-sync with the “Fib” the domain of which no one has been able to pinpoint the origin of the universe’s mathematical sequence that leads us into infinity.

Spikes, as oral myths are known to be born, was venturing into formulary equations; efficient frontier horizon  with the asset (underlying) and option (derivative) in which the criterion of both “entities” merge four manifolds in a coordinate adaptive computational system.

We speak in terms of using the computer to carry the heavy load of calculating complex formulas, almost instantaneously, that meet the four manifolds of which are logically determinism.

Tale of VisiCalc to Lotus 1-2-3; HELLO WORLD development is quickly demanding statistical quantitative logic configurations when it comes to using signal based scoring for Bid/Ask entry and exit – achieving 80% profitability.

https://www.cs.umd.edu/class/spring2002/cmsc434-0101/MUIseum/applications/spreadsheethistory1.html

Codexcelian comprises of the archetypal calibrations, formulas, workbooks, spreadsheets, templates; the overall DNA origin that is an adaptive complex computational software.

VisiCalc calibrated into the encoded, syntax formulations masterfully programmed into Excel.  From Lotus extraordinaire cellular adaptive computative model, makes for a robust Options tactical risk averse investment. Lotus 1-2-3 still holds the largest market share in calculating spreadsheet software.

In a “zero-sum” gamification model, the flip of the coin prevails: a 50/50 change that makes your investment transaction of marginal 40% winner.  Professional market traders are consistently hitting 80% or more.  Why?

https://www.google.com/search?q=80%2F20+PERCENT+RULE&oq=80%2F20+PERCENT+RULE&aqs=chrome..69i57.6683j0j4&sourceid=chrome&ie=UTF-8

YOU ABSOLUTELY NEED TO HAVE ACCESS TO THE DATA FLOW OF NET ORDERS/NET SHARES IN THESE FOUR CATEGORIES:

  • BUY – NET FLOW ORDERS (MARKET, LIMIT)
  • SELL – NET FLOW ORDERS (CLOSE OUTS; TAKE PROFITS)
  • SELL-SHORT – MARKET/LIMIT ORDER ENTRY
  • BUY-COVER – THE COVERED RETURN SPREAD

We will get back to those in more detail later, however, it is a matter of introducing you gradually so as not to deter your memory bias reactions – that show up after you’ve lost money.  Solution?  There are many approaches to describing the Elephant in the Room. So we must introduce an “impartial judge”, just as with cinema acting – the camera never lies (unless you’re fidgeting with your Smart-iPhone editing app).

Codexcelian is a term used that defines our incorporation of Excel to the Ancient Archetypes that knew the Secrets of the Source through the five basic geometrical polygons.

Cut to the chase:  Presented is an Excel template that provides you with the asset snapshot’s relationship with the market indexes, the asset price range, and the ultimate signal based scoring metaphor, according to Einstein. Models are metaphors.  Metaphors are our catalyst to inform morphing expansion into the Quantum Realm of our Natural Existence. Mathematics is our universal language.  All life is based on economics; production, distribution and consumption of goods and services. Our behavior,collectively is irrational.   Why? Because we fudge, lie, cheat, as the means to maintain the “falsity” of a recreational rational mainstream of “what ought to be”in the marketplace environment.

We are linguistically oriented in our Blackbox subconsciousness – “rules of the house”.

Economics revolves around Lambda Calculus.

Fundamentally the “derivative” is a value dependent variable determined by the quantity of an independent variable.  When trading options you enter into a time dependent  velocity that is in constant decay.  That “decay” exists as a slope; a linear approximation of the input values.

We evolved from a holistic perception of life to a dualistic void.  We misunderstand the necessity of Yin and Yang, unaware of the missing input value:  The Lost Zooma.

Morphing our brainwave entrainment intelligence through technological devices that connect the invisible hand of commerce links more of our biometrix awareness within our ethos- psyche to others, to which we have yet to realize.

WHY ALL THIS MUMBLE JUMBLE?

Trading Options, whether you agree or not, is a Defeasible Function dependent on one quantify function determined by an independent variable. he Derivative Abstractions: Asset Allocation.

Fancy high brow terms cause conjunction within our individual separation of 6%;  these categorical distinctions depicting the diversification of the Fibonacci Ratio Overlays on the Japanese Rice Counting Market Exchange Candlestick Chart, respectively.

Spank the Monkey with Monkey Charts. , Combine Monkey Charts with Volume/Velocity Butterflies, flittering about the space-time continuum.

Asset Allocation Fails Us.  Don’t fool yourself into believing otherwise.  What was is reality in the molecular, photon clustering ion atomic clouds of dispersing elements, struggling against the gravitational pull of the Black Hole; causes

pxd-web-page-2017-02-15-14-23-25THE CODEXCELIAN OPTION MATRIX

Matrix Explained:  From the top we input the major indexes to track overall market performance. (Dark Blue Banner)  Then we input the asset price range, using these specific array inputs for part of the CODEX trade signal, just below the price range on the left side.

The C-RTN is our covered return reduced cost basis calculation that of which the meat of it is not shown here and will take another session to explain it’s father unique adaptive features.

For Options we’ve decided to focus on Strangles, solely, after gathering a years worth of empirical data comparing Strangles, Straddles and Verticals, though the Excelian Option Template has the flexibility for user preference.

The standard formula is to buy a Call and buy a Put – one to two legs out from the current correlative strike price to asset transaction price.  We whittled down the most pertinent inputs for this matrix that gives us the most robust outcome.

These are in the order of Strike Price, Bid/Ask Premium, Delta, Implied Volatility, Probability of OTM, and Volume.  We are using “Thinkorswim” to obtain our real-time streaming data.  To set up our Options spreadsheet, we have a second workbook where we paste in the Option chain we have chosen, from the Trade Tab, using 8 Strikes.

Our inputs are correlated to the above inputs, of which we cut and paste into the respective cells.  This can be set up automatically, but the Option chain layouts aren’t all the same so having a single template can skew your numbers for another asset class.

Contracts are listed in the hundredths  and then you’ll see the final calculations for cost per CALL/PUT capitalization, sum total, and then Profit/Loss individually and then consummated – at the bottom in Red.

The Codexcelian also calculates the limit and/or best price for market entry for both CALL and PUT entries, based on Time Decay.  We have broken this down into three periods – using a 30 day time frame. As you can see, the CALL and PUT “Limit Entry” correlates to the Entry input in the Option Matrix spreadsheet.  This is automatically calculated, so one can automate this spreadsheet into an algorithmic trading program.  Note that the 30 days and 60 days are configured in this particular instance given the March option chain.

You can see what your entry price will be going out 30 days and 60 days, or at time of expiration.  However, this will change dramatically during the time that you hold your position, specifically when committing to earnings transactions.

We use a 1/16th divisor formula to find best price entry.  You can see that from the time we entered this trade, the Long Call profited more than the Long Put.

.pxd-dte-2017-02-15-14-44-52

So, what everyone really wants to know is if they are going to lose money or make a profit by transacting a Strangle.  The answer is either way – as the time frame selected will give you either a “squeezed” play of volatility with less than 7 days left to expiration, or 60+ days on the “back month” for more flexibility to “roll out” either the Call or Put if there is a significant deficit.

We call this a “non-zero sum” gamification model, because the premise is for the investor to have the greatest edge, or probability of profit, in a win/win (Call/Put) set up.  Absolutely brilliant.

There is so much more to show you, especially our model that tackles the Dark Pool/High Frequency Trade “gap” ups/downs.

The caveat for retail traders is to accept the fact that the traditional indicators don’t work in an 80% dominated automated, computerized algorithmic trading market.  Even if you think it’s a “machine to machine” solution, it’s not and I can back this up with another thesis at another time.

I do encourage you to build this layout and/or contact me directly for obtaining a template.

Full disclosure is that this presentation is for educational purposes and for the advancement of retail trading  modeling.  Total transparency.  The key is that the Codexcelian spreadsheets will entrain your bias cognitive means of decision making that is predominately unconscious habits.

We all need a little reassurance in the beginning to know our hypothesis is right.  The CODEX Logic Score attains just that.  For your assistance, all cells with complex formulas have call outs that will explain, teach and remind you of it’s robust use with in the network of nodal inputs.

I encourage developers and programmers to consider taking this to the next step in building an algorithmic software. We would love to put it on a Raspberry Pi or similar micro MOBO, pre-programed to minimize latency for retail traders and have an integrated cloud updating link.

CODEXCELIAN QUALIFIES WITH THE HIGHEST MEASURE OF CERTAINTY FOR THE FOUR MANIFOLD ALGORITHMS: 1) MSN EXCEL, 2) APACHE OPEN OFFICE, 3) GOOGLE FINANCE SPREADSHEET AND 4) UBUNTU DEBIAN LIBRE CALC.

Contact me: grtsmarket@gmail.com or tecktomaket@gmail.com

ADOBE SNAPSHOT -CALLS AND PUTS OUTCOMES

adbe-screenshot-domain-date-time

In the moment of time we have during execution of market performance – data flowing endlessly from all nodal points perscribed by our algorithms; here is ADOBE (NASDAQ:ADBE) – artistically designed and/or engineered using our CXQ Excel model to be calibrated with Marcoaxis – the Buy or Sell graphics.

Sharpening the data’s focus in this case causes a slight distraction – to the viewer’s inner eye – But the essential kernel of information to which we direct your attention is the Call linear/logistic tracking blue line that rose away from the Put – up above it’s placement, simply implemented by the spreadsheet’s functionality.

The pivotal inputs are Entry Price, Ask and Bid.

We earned about $372 (not including commissions) on the Long Call (OCT Strike 105; Premium Limit Order Entry $2.14. (Put Strike was 94 with a Limit Entry at $1.10.)

Volatility – DTE:  Call Delta rose to 0.724; Put -0.036.  Prob OTM for the Call dropped to 0.2929 while the Put Prob OTM rose to 0.9573.

Trade date was 9/8/2016.

Next up – COSTCO September 28th.

We have a Limit Order for a Long Call on COST OCT (hoping for more volatility given the drop in price over the past few months. Limit Order Entry $152.80 with a target to $157.34 before the earnings report in six days. (Just within the 7 day cycle.)

As with all our posts they are strictly educational. We are grateful for Macroaxis’ assistance in providing their robust Financial Analytics. (The graph posted on the right.

YIN/YANG – DHARMA – TAO: TRADING IN THE NOOSPHERE

TAO
TRADING IS DUALITY – THE BALANCE OF YIN & YANG

I want to express gratitude to the person who was critical in a harsh response to my posting this sacred symbol in a post related to Forex trading.  This graphic is one of my own modifications.  Did you notice there are two separate circles with the “S” shape inside, separating the white from black, and in the center the “seed” as it is called?

“What in the hell does that have to do with trading,” the irritated person remarked in a forum.

Well, let’s explore this a little further, in simple terms and use a metaphor to help your mind’s resistance with another example.

Correct perception of the market analytics will pay off.  More likely biased thinking will not.  In part, this is because, quite simply we have two parties seeking to profit from the other in an investment transaction.  Understanding above all, that there is a duality in play when you are trading the market – one is seeking to dominate the other into a subordinate position so as to take the profit.

The “Bid and Ask” logistics is driven by the level of net shares/orders that flow into either side, thus setting a new price that tends to project a trend, either Bullish or Bearish.  Whether one trades only assets and/or combines this with options (Call and Puts) the “duality” exists over the price move.  However, there is a dynamic phenomenon in play that becomes the Quantum Field.

Or in another way, it reflects the “nooshpere” taken from the writings of  Pierre Teilhard de Chardin from Cosmogenesis.  Along with Vladimir Vernadsky (Paris, 1926) they foresaw that  “..at the root of the primary definition of noosphere is a dual perception: that life on Earth is a unity constituting a whole system.

Okay, the reason I commented on this, is the importance of the last comment: “…a unity constituting a whole system.”

One may not see a metaphysical aspect to Wall Street, yet it is quite embedded during the trading session, because it is based on human  behavior (including the algorithmic machines that are programmed by humans).  This “behavior” is the influence from many schools of thought, traditional to Quantum psychics.   Still, the fundamentals remain: volatility and equilibrium.

So, during intraday trading we have at least two parties, taking the opposite side of the “bet”, in hopes of taking the profit.  During this stage, the market is not balanced, and can become more so if there is a sell off or an “All In” market.  Yet, given the laws of physics, the volatility eventually creates an equilibrium between the two prices – such as a Delta equilateral outcome between a Call and Put spread when Implied Volatility drives both side’s premiums up.

This is the juncture of Yin/Yang – the balance.

Yin: represents the negative, the passive feminine principle in nature.

Yang: is positive, representing the active, masculine principle in nature.

Yin/Yang: presented together divides the creative fusion of the two cosmic forces; the “S”-line.  Within each contain a “seed” of the other.

Dichotomous judgments are perceptual, they are not real.  Duality equates to “profit” when you can grasp the conceptual aspects of its empowerment in all things.

Foreign Currency trading involves a dominate and subordinate currency; with respect to derivatives we consider the Put-Call Parity that exemplifies the dynamic system that two aspects empower the equilibrium of Oneness.

My critic said, “That’s stupid,” signing off with the punctuation  of pontifically profound pointlessness.

Really?  Once we reach the balance between Yin and Yang, we have entered into market’s dharma (noosphere).  That translates into a trader being “in the zone” and using their intuitiveness as a natural means of analytical assessment, just as if they were making a peanut butter and jelly sandwich.

It’s about “evolving” one’s self into someone they want to be:  A wealth builder.

Dharma has multiple interpretations and symbolic representations.  For example, the ubiquitous weight scale that symbolizes “equal justice for all” (really?) or the New York City Ornamental Iron Workers logo; I can get behind that one.

Then why not the Bull and Bear?  Dharma conveys  a conceptual scope “to hold, maintain, keep”.   It is ironic that Yin and Yang merge with the dharma “that remains constant” is the equilibrium of our market exchanges striving to maintain throughout a trading session, and more over in the macro scale of global economics.   The complex influx of trader’s orders, institutional orders, market maker’s price setting (there’s another story regarding that” and High Frequency Trading.

The summation of Yin/Yang and Dharma brings us to the Tao;   that contains 10,000 things. This surpasses the Internet of Things and only though the Quantum Frontier can realization be attained.  Hmmm, is there an app for this?

In conclusion; my mapping optically with symbolic meaning of our consciousness, the way we think, the duality of negative versus positive, that translates into our individual dharma, eventually leads us to the Tao:  The Profit of 10,000 to the tenth power of prosperity.

Be humble.  And know that no one is any better anyone else. It’s just a matter of getting all the “noise” and “hype” out of the way so that you can really, really tune into what the market’s telling you – and I guarantee you, you’ll find that gem for the Universe wants you to prosper.

Understanding the human dynamics makes attaining profits with effortless effort.

Peace.

Skokie

 

snapshot-2-9-8-2016-3-14-pm-2
Codexquant

Graphics designs are the sole property of Richard Kambak. The second graphic (Earth’s Noosphere) was created by using “Alive” app (Logo appears in right lower corner).  To post, attribution is required.  Any contextual use  that is posted on the Internet with the intent to be malicious or defamatory towards the author is strictly prohibited.

NBBO: THE DIRECT FEED RACE TO LIGHT SPEED EXECUTIONS

Forex Dealing Break Down (1)  Click on the link to you to open the “pdf” graphic of trade execution flow exchange comparisons between retail traders and High Frequency Trading algorithmic “machine-to-machine” trade executions.

How Slow is the NBBO?

A Comparison with Direct Exchange Feeds

the oracle machine”

Thirty percent of Wall Street’s intraday liquidity is transformed through price formation acceleration, explicitly influenced by high frequency trading thriving in millions of dollars of profits by exploiting the exchange’s trade execution “latency” electronically sent over the Internet ot capture the “best price” trade executions for the consumer trader.

To be efficiently profitable as a predator on incoming bid/ask trades, the HFT servers are set up is co-located server near an exchange/electronic communications network premise and plugged into a ultra-fast bandwidth. Through network stacking, messaging protocols and raw market data processing.

Though the financial media claims HFT brings greater “liquidity” to the market, in reality it is causing price dislocation for the consumer day trader. For example, the NP-Hard can be used as source code applied to the arbitrage decision problem presented by the variance of the bid and ask spread among the exchanges data flows. Here is where the “investors” and “brokers” can virtually integrate the exchanges through their computational technology without “transparency” to the consumer trader.

clock-rate – faster to market”

Likening the linear exchanges to a convex polyhedral geometric, the functional aspect of the HFT algorithm parameter compilers are encoded into proprietary computational complexity that solves the “problem” through polynomial time within the concrete semantics of an oracle machine or “black box”.

The HFT algorithms must be able to reconfigure frequently in a compute-intensive application to efficiently respond to public data order flows, thus HFT platforms have utilized custom-optimized “field programmable gate array” (FPGA) integrated circuits.

Contemporary (FPGA) optimize I/O speed and allow for programmable logic blocks to be wired together. This is key to minimizing data flow through the bandwidth to the exchange. Though time consuming to program these “logic blocks” can be configured to perform complex combination functions.

Moreover, as mentioned above, soft processor cores implemented with FPGA logic are equally robust. Achieving the ability to be re-programmable at “run time” is leading the FinTech pack with these HFT systems; including non-FPGA architectures (

ref: Redline Trading Sources).

Today, FPGAs are being replaced with an “off-the-shelf” processor (Stretch S5000).

Software-configurations based on “clock rate”, such as the Stretch S5000 are an adaptive hybrid of the FPGA. Having software that is configurable within the processor associated with the general-purpose processor (GPPs) and DSPs and application specific processors (ASPs), serving parallelism and flexibility with FPGAs, programmable logic that is completely embedded inside the processor architecture.

Moreover, the Stretch S5000’s patented Instruction Set Extension Fabric (ISEF) is a game changer in the world of being able to program a processor for compute-intensive applications. The sky is the limit now for HFT to overcome and exploit exchange trade executions clock time.

ping bugs”

The “ping” comes from active sonar terminology so named by Mike Muuss in 1983. It is the means of sending a pulse to a target host across the Internet Protocol (IP) network. In consideration of market exchanges, the “ping” represents a “price prob” activated by an application programming interface (API) plugged into a specific market exchange.

Consequently, by using the “ping” proprietary data feeds (expensive subscription access) have a tremendous advantage over “public” (consumer) consolidated data feeds in consideration of trade execution latency. Even though The National Best Bid and Offer (NBBO) is meant to “halt” price dislocations (latency), but it has shown otherwise.

In light of the highly advanced computational algorithm trading systems such as value weighted average price (VWAP) and weighted average price (TWAP), HFT algorithms maintain an informational advantage by remaining constantly plugged into the major exchanges (listed below) to use latency issues to their advantage.

It is no longer the case that the price shown upon trade execution will be the fill price. Maintaining NBBO “best price” is undermined even more are inter-market sweep orders (ISO) and non-transparent dark pools that send a trade execution to multiple exchanges for instantaneous execution, disregarding the “best price” regulation. This is allowed by the SEC.

13 exchanges and nowhere to go”

Wall Street has two trading systems. Registered exchanges and alternative trading systems. The exchanges are regulated to provide the “best price” through the consolidated quotation system (CQS), and must file any rule changes with the Security and Exchange Commission(SEC).

The electronic communication networks (ECNs) and dark pools, do not provide CQS, but are mandated to match NBBO price quotations. In 2007, the Securities and Exchange Commission established Regulation National Market System (Reg NMS) to protect consumer traders from improprieties of the “best price” execution.

Reg NMS requires the exchanges to provide the quotes to the primary exchanges, such as NYSE. Data that is collected under the Security Information Processors (SIPs) for the NYSE and NASDAQ publish the National Best Bid and Offer (NBBO). Consequently, brokerage houses are required by Reg NMS to give consumer traders the best price at execution.

Out of the 13 exchanges accessed for market trading, the NASDAQ, NYSE, NYSE ARCA, BATS BZX, Direct Edge EDGX and EDGA have approximately eighty-eight percent of the lion’s share in total volumes. Dark pool trades, that are non-transparent account for more than 12% of the trading volume.

 

the larger the latency, the greater the uncertainty”

For consumer traders, this short duration of dislocation of price, becomes costly in commissions while bolstering optimal profits for HFTs. Empirical data comparison from examination of publicly traded market data and data sold directly from exchanges (tapped by High Frequency Trading algorithms) proves the fact that the “latency” of the consumer’s executed trade is picked off by HFTs, monitoring the data flow with direct access to the exchanges.

In one control study between the public NBBO and a synthetic NBBO (Redline Trading Source using a software programmed processor similar to the Stretch S5000) turned up 54,734 price dislocations; tabulated within 6.5 hours of the trading session with the equity Apple (AAPL).

It is estimated that price dislocations happened every 2.34 seconds with the latency lasting as long as 1.5 milliseconds. Consumer trades went to the wrong market exchange 0.175% of the time. The average price dislocation was $0.034.

 

MEASURE YOUR COMPUTER’S TRADE EXECUTION LATENCY

http://www.dukascopy.com/fxcomm/fx-article-contest/?How-To-Measure-The-Latency=&action=read&id=948&language=en

The “packet-switched” network measured either “one-way” or “round trip” is being exploited as a “fixed game”.

 

CODING THE EXCEL SPREADSHEET – STRANGLES AND STRADDLES

Our new model brand logo is <codex.qbt> of which you’re going to see more of in the future as our signature icon.

It is baseline defined as a “code” for programming of which eventually moves from binary code toward a “Qubit” superposition quantum program language.

We are using Excel as a baseline platform in determining Proof of Concept of parameters inputs correlated to equations and networking calibrations.

We have posted our latest video showing the simple sequencing of data input from the Thinkorswim (TOS) platform into Excel for the Strangles and Straddles template.

Click here to view the video on setting up our options template spreadsheet.

When it comes to trading “Strangles” or “Straddle” spreads, there few quantifiable “optics” that show a comparison of movement between the Call and Put premiums, calibrated to your “entry price” to give you enough insight to entrain your cognitive decision making towards more profitability.

Nor are there calibrated Excel spreadsheets that give you flexibility with defined ranges of which you can “code” yourself though the Open Source format.

We developed this spreadsheet template for traders to use in simulating their thesis and/or in executing actual trades to track the profit/loss ratio.

It is meant for the novice to have access to an introductory process, so complexity is minimized.

The optics reflect to the user just exactly how the choice of strike price is affected comparatively to the underlying assets price move, volatility and option chain month choice.

There are so many scenarios with option spreads that it takes time to learn which strategy works best under specific market performance conditions.

We are all guilty in trading losses through our stubborn “confirmation bias”‘ so these templates are meant to be “impartial judges” to confront bad default habits and entrain your subconscious mental decision making processes toward refined risk defined knowledge that triggers profitable executions.

The <codex.qbt> Excel templates shown in the videos are available per request, and for now, gratis.

Please give me some time for turn around as I’m the only one managing this the plethora of requests.

Peace.

Rich

THINK BACK: TWITTER EARNINGS – THE WHIPSAW OPTION STRANGLE TRADE

In this blog we discuss how we found which option side to lean into prior to Twitter’s (NASDAQ:TWTR) earnings release the following day – 10/27/2015.

It never amazes me when the predictable is always the unpredictable when it comes to trading options around earnings.  The “zero sum” outcome and randomness of the efficient market indicators are equally reliable to be unreliable.  What goes down must come up.

And paradoxically, TWTR posted a plus in earnings, though minuscule by our standards, market makers obviously have inventory lined up to short TWTR, proving that our PUT weighed values were correct: but only momentarily since TWTR returned to the breakout price on during intraday trading on 10/28.

Posted Table on October 26, 2015 the day before Twitter posted earnings.

Estimate is -0.24 cents and actual was 0.10 in After Market Reporting.  What transpired as to the volatility of movement provides excellent feedback as to why you’re flying blind, even with statistical evidence to support a “mechanical” risk defined trade.

In this table below you’ll see our goal post statistical data indicator’s comparison between the NOV 2015 Call/Put analytic matrix that is calculated by our Codex.qbt* formula.

How to read this graph:  On both left and right sides we have Call and Put coinciding indicators: Premium (Ask), our entry price (calculated for a limit order entry), Bio premium price, Delta Hedge (not direct Delta, but our own calibration), Gamma, Implied Volatility at the Strike, Probability Out-of-the-Money, Strike, Number of contracts in hundredths, Probability of Profit (calibrated to our own formulary), P/L, and Skew price.  Note: Intrinsic is purposely left blank as this is a short term trade.

In the middle are the Logic signals:  Delta Hedge shows “Call” and Implied Volatility shows “Put”, a contradiction that played out accordingly.  The “Spread .03” Alert is to signal us when the spread between the Bid and Ask expands greater than two cents.

Stock quote and option quote for TWTR on 10/26/15 08:13:03
CALL P/L Strangle PUT P/L
$38.00 $260.00 $222.00
NOV 15 (25) 100
CALL OFFSET** PUT
Premium 1.98 $260.00 Premium 2.060
Entry Price 1.78 DELTA Entry Price 1.931
Bid Price 1.93 PUT Bid Price 2.07
Delta Hedge 0.3381 Delta Hedge 0.427
Gamma 0.0887 IV Gamma 0.1272
IV 0.743 PUT IV 0.760
Prob OTM 0.61 Prob OTM 0.52
Intrinsic Spread > .03 Intrinsic
Strike 32.00 CALL Strike 30.00
Contracts 100.00 ALERT Contracts 300.000
Prob of Profit 0.1921 PUT Prob of Profit 0.1935
Profit/Loss $38.00 ALERT Profit/Loss $222.000
Skew Price 1.94 Skew Price 2.209

What sticks out is that the Implied Volatility is .743, well above our .45 threshold for mean reversion of a Buy Call signal; and that the Put indicators out weigh the Calls.

With a favorable out come of TWTR going short, we executed a cost reduction limit order with 3 Long Put contracts and 1 Long Call contract, to protect the upside, so not to diminish our profits.  You’ll notice we were pretty close in matching up the premiums for pairwise management of risk to reward ratios.

twtr earnings
Entered around $30.89. Surged up for a Call scalp profit and closed out at closing bell. Held the Put side to the opening bell on 10/28 to lock in profits at $28.80.

TOS “think back chart” (The outcomes are not as accurate given the intraday subtleties involved in our trade executions.)

The totals are listed in the above graph: Call profit was $38 on one contract and Put profit was $222 giving us a $260 pay out minus the per contract fees.  The whipsaw volatility on price formation was foretold by the OTM percentage.

*Codex.qbt is our bootstrapped Excel quantitative statistical model name.

It is in the Proof of Concept phase; based on the hypothetical Qubit “superposition” of categorical data inputs compiled into statistical data bins then calibrated for a “measure of certainty” outcome.

**Offset is the combined profit/loss between the Call and Put positions.  This is an excellent visual for “Strangles” and “Straddles” as you can see how both positions can become profitable at the same time.

Do you use TOS?  Would you like to have our Open Source Excel spreadsheet models for your own use?

Available for MSN Excel 2010, Apache Open Office and Google Spreadsheets.  These spreadsheets can be customized for your own trading style and watch list selections.

Inquire at: grtsmarket@gmail.com for a list.

Peace.

RK

Disclaimer:  The above information is for educational purposes only.  We make no claims of validity or suggestion for trading the assets listed.

WRITE HIM OFF – Z EQUALS ZERO

Quant Org Internal Memo – received July 5 by Def-Vet from E.M

Author Code Name: Woet.  True Identity unknown at this time.  Considered high security risk for the national financial sector.

“Write Him Off” – Zine Equals A Zero

The new updated report on the probability calibration of trouble shooting the Zine algorithm carried a lot of problems with the probability density function that surfaced as an unknown and difficult to understand .

I surmised this because of the notation bugs resulting from the raw data qubits in correlation to the combinations and permutations of binary data mining inputs which upon the advent of a forced upgrade gave only the instructions for “x” that I found written on the wall in the office kitchen by the firm’s trustee who is often slow to be glad about my current position as data analyst, because he is a die-hard traditional mind-set of frameworking the tiling isohedras gathered from the TOS platform.

The less the limbs on the decision tree, I claimed that everything comes in threes pertaining to the measures of the percentiles and quartiles, ref: Ian Steen. He claims the recent score for in-house or not is his only standard data into one hot flipflop of the swithces that equates Clarks – 40 S Saint Theorem based on Laurent linear polynomial format.

A recent thesis by Rees, et al shows that they denied this by at least one P separation, ref. Seth E ETC; when you start at 90, he said that Warren’s data is the first percentile of the city’s demographic while I doubt his algorithm session performed without a flaw from the “glide” which is suppose to present no doubts that the Notation is an alternate code alone at best to intuit the percentile construct built into the adaptive agent learning memory.

It was expressed at the board meeting that with the firms aggregate years of experience, that should enhance the unit of intelligence to a 10/80 power, our ability to supersede humanity’s own ability to absorb experiences at 650 milliseconds – deviated by 3 milliseconds per neural synapse, should be 15% greater than the citizen consumer based on a control group of 91 witnesses to the machine-to-machine prototype.

This extends Tesselers equal or better than 75% social class needs to notice that we’d been already prepared infinitely per person to collect substantial profits from what was clearly 45% of the “witnesses” bias performance valuation versus the “child-parent union” factor.

Consumer response to the product launch was 20% higher than expectations while in the second quartile analysis, the thought processing averaged per millisecond or glide was 20% higher confirming that going forward will be just routine for the third programming quartile session. The citizen’s techno-device quest was identified by 4% use of the quarter range of our own data set; based on global consumption and natural resource availability.

Cheating bias was in need for the entire data set to be firmly set with empirical evidence in the first quartile correlated to the standard score median that was already shooting beyond the third quartile score.

This indeed helped me to own what was Kingsley’s proof of concept prior to my own thesis release, showing that the man lives on an island when it comes to incorporating the irrational user behavior numbers between what is displayed here as step one, and arranged accordingly through the sequencing.

We’re in small ways moving towards the largest break through in quibit coding, but facing less outside funding which means that our entire data set goal may or may not have an even chance of meeting the valuation deadline.

The only means of accomplishment at this time is to find a deep pockets cell among the 19 Seventies Equity Funds that she and myself are tuning into for an equal split on top of the 35 plus 45 ratio, designated by the late 19 – 40 baseline point system that is worth taking into consideration given our game changing breakthrough with fungi circuitry for the motherboard if we are given patent approval, re: 1223 in the 35 segmentations of required purposes.

To be sure we remain ahead of our competition, I added the all-odd numbers scores squared by integers that result in the “bringing in the money” outcome. No valued headlines in the media regarding a possible competitor or infiltrator to our project.

This is a relief since Switches and Witches reported that the median of old values are heating up certain sectors, three in fact reporting a code sequenced output of 35566778 to the power of 79 – known as the male bonding citizen element in human DNA. The TOS quartiles define this appropriately as the termed “injured portal ranges” that I discovered last Saturday after receiving a text from outlier user E. Martinez (code name DG 3-2). He reported that one 67-12 equaled 51 points in the set of data which minus “King One” closes the critical logic gate that must produce many standard deviations by perceptive observation that is fundamentally a responsibility of in our Eastern research court.

They calculated the following formation based on the quad-triangle analysis of the Zuni temple. Digging through my archival notes of hundreds of failed arguments in the algorithm Zine, all produced by “halt” calculations showed that Team Score X didn’t do the observations that I had instructed them to do, which made me have to present my ITM in front of the firm’s CEO.

But in terms of the interchangeability of less content, as I explained, for the standard score, I actually provided the proof of concept result without the Asian sector’s trouble shooting support saving our firm millions of dollars. Regardless, the mean score came out at 85, equivalent of the test score from the formula I created known as “Three Easy Zero”.

In this formula “E” equals zero, that makes the program quirky enough which was inspired by my niece Courtney’s own quirky behavior in decision making; who is a complete deviation of zeros from sigma.

Anyway I resolved the upper echelon’s Zoo Courts dilemma by declaring that their inputs into the formula were “walls” and to get around this was to calibrate the sub-syntax code to five minus the new standard deviation embedded in Zine – line 3298756-123-a234.

That reduces the outcome to exactly where we wanted the prototype to be expressed for confirmation of being bug free – proved by the seeing on the computer monitor: “Write Him Off; Z Equals Zero”

YOU NEED TO READ THIS IF YOU ARE AN OPTIONS TRADER

The log-linear rule falls in between the “traders” price and the “net orders” affecting the price action.”  Prof. Doyne Farmer and Prof. Shareen Joshi*

Let’s be absolutely clear:  The National Best Bid and Offer (NBBO) is meant to protect the retail trader from pricing manipulation by their counter-party that could cheat them out of their profits, while benefiting the brokerage, proprietary dark pools and/or High Frequency Trading driven by their respective algorithms.

So I ask: Have you ever experience a “price dislocation”?  What I mean is that the price that you executed your exit at was blatantly offset so much – say over five cents – that an elephant could walk through it?  Well, you’re not alone.  Unless you the means of tracking this, say with an excel spreadsheet that is plugged into a brokerage house platform, you won’t know the origin of the “offset” that cut your calculated profits before closing.

EVIDENCE – PRICE CHANGE VALUES

Here is the comparison between the Thinkorswim (TOS) platform’s option chain for AAPL (Apple, Inc) premium prices and my Sharebuilder (SB) close price.  I traded AAPL at the APR option chain, the Strike price was 127.14.  My entry as shown below from the SB transaction history was a scaled in 2 contracts per 2 trades with a Long Call position.

My target limit was 2.05 on the Ask premium.  When 2.05 was hit I executed my close on the SB positions, but was you see, even though there was a drop in the premium on the TOS platform, the SB platform – connected to the BATS exchange – didn’t give me “best price” in accordance to NBBO rules.

sb aapl.jpeg (2)

 

Above is the SB transaction history.  My closing premium for all 4 contracts was 1.93, not anywhere near what the TOS platform was showing at the same Strike price.

2015-03-26-StockAndOptionQuoteForAAPL (2)

 

Just below the yellow highlighted ban is the current premium prices, last price and mark price, which all are well above the 1.93 closing price that SB gave me.  My profit loss was over $50 on the four contracts, leaving me with $16 in net profit.  Moreover, SB’s real-time price at this Strike price was previously held at 1.86 while the TOS platform’s Call premium price increased dramatically toward 2.05.  The lag time on the SB to catch up, and then not even matching “best price” as shown on the TOS platform didn’t exceed 1.96.

OFF THE GRID

Whose the culprit behind this?  Conniving Leprechauns?  Pesky GPU malfunctions?  You may be surprised to learn that it boils down to High Frequency Trading algorithms (HFTs) trolling the exchanges for an opportunity to “flash trade” off of your executed trade; either when you open or close.  Since HFTs have direct access to contracted co-location to Wall Street exchanges, primarily located in New Jersey, their latency is measured in nanoseconds, whereas yours and mine are measured in milliseconds.

I AM THE WALRAS

If you’re inspired to build an excel spreadsheet that will expose this detrimental price aberration you could turn to Walras’ formula:

dp over dt = -Beta D(p, …)

Or Kyle’s model formula:

P t+1 – P t = ω

But let’s keep it simple, as my point here is to just make you more aware of the fact that virtual pricing is overtaking your “true price” formation.  Take into consideration the first element in their formula concerning an asset or option premium’s price formation:

f”Form

Form has two components that determine to be path dependent based on the price range (Bid/Offer) inputs provided by any one of the 13 market exchanges at any one second that eventually shows upon your computer screen.

The origin of the asset’s  “price” is fundamentally started at the opening of the market session and then sequential accumulation of both Ask and Bid share orders can be calibrated to determine intraday price trends.  That means if you set up an excel generator to record any equity Ask and Bid share orders, you can scale out a directional price movement forecast using the appropriate computational statistical mathematics.

According to Farmer & Joshi:

“a. This defines the weighted side which in turn shows the propensity toward formulating a trend that is either Bullish or Bearish.

b. Exponential Distribution equation defines the next calibration that is probability density accumulation.”

High Frequency Traders Can Shift “True Price”

There are 24,000 seconds during the Wall Street scramble to trade in one day session.  Within those 24,000 seconds, High Frequency Trading (machines talking to machines) causes 2.4 price dislocations, most often times cheating retail traders out of a few pennies on the equity’s Bid/Offer spread, including option’s premiums. That comes out to 57,600 price dislocations per trading day.

HACKING HFTS

I have built a deterministic trading strategy that incorporates a quantitative excel spreadsheet “real-time” data input, calibrated to a set of parameters that eliminate the “noise” while showing the directional price formation of the underlying asset correlated to the options premium.  The most telling function is the price shifts and comparative profit between simulated Call/Put profits during intraday trading that are depicted on the GRTS Tactical Trader.

Below is a screenshot of the GRTS Tactical Trader spreadsheet:**

screenshot-{domain} {date} {time} (1)

NBBO CROSS CHECKING

I currently use TD Ameritrade, Thinkorswim, Dough, and Capital One Sharebuilder.  The reason is for the very reason I mentioned at the beginning of this article: tracking price dislocations, i.e. “flash trading” by HFTs that cause “virtual price dislocations” giving them a profitable edge on my trade executions, while I take a greater loss.

Peace.

Rich K.

* “The dynamics of common trading strategies”, Farmer, Doyne, J. & Joshi, Shareen

** For TOS traders, the GRTS Tactical Trader is currently available in the Apache Open Source Excel format, for a token donation.  Inquiries via email are welcomed for further information and explanation.  This is for advanced users of excel and day traders.

AAPL A DAY KEEPS ON GIVING

If you’re interested in a seeing a brief explanation of how I traded AAPL’s FEB Option Chain – Long Call then watch this video on my YouTube Channel.

In this video I show my strategy using some basic parameters.  These are Fibnoacci Ratios, Exponential Moving Average chart overlays and the options charts for my entered Long Call trades at the 115 and 120 strike prices.

Your take away is identifying: the optimal premium strike price in relationship to the volatility of the underlying asset and knowing when to exit the trade – price exhaustion.

 

Peace.

Trading With Rich