onemadhatter

"Get used to the bear behind you." -- Werner Herzog

[Gappy (Giuseppe Paleologo) @__paleologo]

Best of luck to Benn. Not your first rodeo, neither your last. You've helped countless people on X and in person, and I hope you just keep going. Even the thread below is helpful.

To those who dunk: the ones without sin among you can first cast a stone. Or at least try [risk-] managing a HF, then come back.

[onemadhatter @onemadhatter1]

@Ksidiii

[onemadhatter @onemadhatter1]

@Aheadprivate +1 for TSLA. While emotional, the vol is tradable.

[onemadhatter @onemadhatter1]

@marcelolima ...if they eat their own dogfood and the dogfood tastes like foie gras, sure.

[onemadhatter @onemadhatter1]

@AgustinLebron3 @SylvainRibes It's not the same product.

[onemadhatter @onemadhatter1]

@IvanaSpear Lots of Worker adoption in SMB/smaller apps, not much in the Enterprise. Dunno w/startups. Disagree that there's an advantage of an AI workload running at the edge vs further downstream. Own models -> compute is a bigger impact. IMO Workers isn't a needle mover. Disc: long $NET

[onemadhatter @onemadhatter1]

@AheadofthenewsP ZB is now at your weekly. Do you think it's going to get back in range or it'll fall some more?

[onemadhatter @onemadhatter1]

@StrizziJ @SilkLifeMedSpa For anyone thinking about doing this: do your own due diligence. https://t.co/RJBJqmMh5Q and https://t.co/oGeXofSzIz are good takes. TLDR: In US FDA has approved testosterone products only for those with a medical condition, all other uses are "off-label"

[onemadhatter @onemadhatter1]

@AheadofthenewsP NVDA, it behaves better with ranges and I trade it. TSLA is more volatile.

[onemadhatter @onemadhatter1]

@bootsiejones Post-earnings drift. It almost closed the gap to previous earnings in May.

[onemadhatter @onemadhatter1]

@KrisAbdelmessih Playing devils' advocate (DA): with the exception of first para, the rest is not relevant to retail. 1st para: delta-worth in stock is capital-intensive and lacks adrenaline rush. DA mode off: your post and illustrations are very valuable, but IMO retail is not your audience.

[onemadhatter @onemadhatter1]

@AheadofthenewsP @Alex__Salomon Merci et bon voyage!

[onemadhatter @onemadhatter1]

@StockMarketNerd Firm B: $KEYS

[onemadhatter @onemadhatter1]

@dampedspring @danwwang as an overall view, not macro per se

[onemadhatter @onemadhatter1]

@CheddarFlow Likely a risk reversal hedge, see https://t.co/c4eaM5zJjD

[onemadhatter @onemadhatter1]

Diversification strategy for long equity ports. It takes advantage of overpriced long puts by selling puts and buying calls at the same strike (+ hedge of U/L). This combo is the "risk reversal effect" (RRE). Low correlation to U/L; P/L ~ Vanna. 15-delta has the highest Sharpe.

[onemadhatter @onemadhatter1]

Fantastic work. I recommend a detour via Adam's blog (link in his bio) where he presents what he calls the "greatest hits" overview of the paper, a masterclass in wrestling whataboutists to the ground. h/t @TheBrowser

[Adam Mastroianni @a_m_mastroianni]

My paper with @DanTGilbert is out today in Nature: people believe that people are less kind than they used to be, they're probably wrong about that, and we have an idea where this illusion comes from. https://t.co/n548VN5EiQ

[onemadhatter @onemadhatter1]

@IvanaSpear Alternatively, you can jump in after earnings IF there's a surprise (up or down). Post-announcement earnings drift (PEAD) is a well-researched anomaly: see https://t.co/ux7zsiU8gB for a summary. How to trade: via volatility, e.g vertical option spreads as a conservative approach

[onemadhatter @onemadhatter1]

@bootsiejones Yessir! I took this trade thanks to your prompt and made out like a fat rat. Now going to slop the hogs, dig the well, and plow the south forty before breakfast.

[onemadhatter @onemadhatter1]

@bootsiejones ....but what about dem AIs from outer space? Bonus track: Mrs. Davis.