On Sun, 06 Sep 2009 17:17:28 -0000, "janzen257"
<yahoo.to.mj257@spamgourmet.net> wrote:
>As for Ricky's request for risk graphs at expiration... I sort of feel the same way; I think that this is how most of us envision our trades. But if you look at pictures of the CBOE floor, for example, and look closely at the hundreds of screens, you don't see any graphics at all -- no price charts, no risk graphs, nothing! Clearly that's not how the professionals manage their positions. I'm nowhere near ready to give up my training wheels yet, but it doesn't surprise me that someone as experienced as CC doesn't have risk graphs for his example trades.
So what do you see on the screens? If a trader is always doing the
same kind of spread, he knows what the risk graph looks like very well
and can figure out where he is by checking a few numbers.
By the way, I tried to understand what Cottle's dissection algorithm
is, by reading in his book, and got nowhere. Can anybody here explain
it? His books get enthusiastic reviews on Amazon but these reviews
say little about the content.
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