
Know How to Write Long Call Butterfly Strategy in Python - harryquant
https://www.quantinsti.com/blog/long-call-butterfly-strategy-python/
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samfisher83
The biggest issue I have with options is the illiquidity of the market for
many stocks. The implied volatility is so high I don't see how you make money
doing this strategy because it doesn't seem like you can't buy and sell at the
price point where you would need to for the strategy to work

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qwrusz
Well if you think implied volatility is very high. That would be good for this
strategy. This butterfly trade is selling volatility.

If you mean illiquidity of single stock options, I agree with you, they are
not good candidates for many options trades (though the stocks themselves are
liquid). Plus a lot of these random multi-leg options trades, I don't know why
they get talked about so much maybe its the cute name, I don't think they
would be worth doing if you don't have the software and resources of a
professional trading firm.

If the author of this link is new to python and wants to use hypothetical
option trades to practice drawing graphs in python who am I to judge.

In case of interest, technically a butterfly trade with real prices can be
profitable. If you guess right. Here are real quotes, delayed 15 minutes, you
can use S&P 500 options to check it.
[http://www.cboe.com/delayedquote/quotetable.aspx](http://www.cboe.com/delayedquote/quotetable.aspx)

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hash-set
Are people actually making money this way? I don't mean in 1 or 2 trades, I
mean, making money consistently every day and not losing any money ever?

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frgtpsswrdlame
> Are people actually making money this way?

Maybe a couple but most are not. A lot of the quant programmy stuff online
seems to be more resume fodder than anything else.

> and not losing any money ever?

That's asking too much. There's always risk outside of pure arbitrage.

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hellogoodbyeeee
If most quant stuff online is bad, do you have suggestions of anything better?
Maybe actual textbooks I can read? I'm looking to apply for some quant
positions in the near future.

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frgtpsswrdlame
There's about a million articles online on "How to be a Quant." I would just
scan those for rigorous books which seem to appear multiple times. Although
"market microstructure" might be a good search term for self-direction.

Also this: [http://www.quantresearch.info](http://www.quantresearch.info)

