Hi, I saw the interview with Aaron. its one of the most practical, in depth and informative videos I have ever seen on YouTube. I went through your write-up and request to provide your comments on below questions:
1.What made you certain that model assumptions in DAX Warrants and Eurex Options were same and you weren't missing out/miscalculating some implied assumptions dealers might have put in DAX Warrants? was it keeping record of relative mispricing and observing it converging after few seconds to minutes made you sure that modelling is same and it is execution inefficiency and you are not missing out any other variable?
2. I checked the statistics you gave above but somehow not able to interpret it well. Can you please help me explain what was expectancy or edge of system?
3.In cases where you had losing trades(except the outliers happened due to being trapped in dance), what were the reasons for it? was it due to underlying market/volatility moving against you?
Extreme Edge
Hi, I saw the interview with Aaron. its one of the most practical, in depth and informative videos I have ever seen on YouTube. I went through your write-up and request to provide your comments on below questions:
1.What made you certain that model assumptions in DAX Warrants and Eurex Options were same and you weren't missing out/miscalculating some implied assumptions dealers might have put in DAX Warrants? was it keeping record of relative mispricing and observing it converging after few seconds to minutes made you sure that modelling is same and it is execution inefficiency and you are not missing out any other variable?
2. I checked the statistics you gave above but somehow not able to interpret it well. Can you please help me explain what was expectancy or edge of system?
3.In cases where you had losing trades(except the outliers happened due to being trapped in dance), what were the reasons for it? was it due to underlying market/volatility moving against you?