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Re: How I made my $/OPTION ADVISE



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Jawad,

The best book though are Bernie Schaeffer book The Option Advisor
(http://www.optionsource.com/book.htm).  This is probably the best book I
have read on options.  It will not teach you Black & Scholes options
valuation methodologies, but it will show you how to best use options and
option strategies as an individual investor.  Finding mispriced options
(using Black Scholes) is a quite tough business that big banks are doing all
the time, so as a small investor this is not a good approach.  Markets are
so efficient these days so these mispricing opportunities are quickly gone.

Jens

-----Original Message-----
From: znmeb@xxxxxxxxxxxx <znmeb@xxxxxxxxxxxx>
To: RealTraders Discussion Group <realtraders@xxxxxxxxxxxxxx>
Date: 20 January 1999 16:52
Subject: Re: How I made my $/OPTION ADVISE


>[Quoth the jan_petersen@xxxxxxxxxxxxxxx:]
>> trading. And my best advise: read "Option Pricing & Volatility" by
>> Sheldon Nathanberg (I'm not sure if the author's name is correct; check
>> amazon.com) and "Black Scholes & Beyond" by Neill A. Chriss. The best
>> books in the market about options for a semi-professional trader.
>
>Two other good ones are Nassim Taleb's "Dynamic Hedging" and Espen
>Gaarder Haug's "The Complete Guide to Option Pricing Formulas". See
>
>http://www.teleport.com/~znmeb/biblio.htm#[Haug98]
>
>and
>
>http://www.teleport.com/~znmeb/biblio.htm#[Taleb97]
>--
>znmeb@xxxxxxxxxxxx (M. Edward Borasky) http://www.teleport.com/~znmeb
>
>If God had meant carrots to be eaten cooked, He would have given rabbits
>fire.