Questions from Subscribers
you post the "Commitment of traders' report" at this site? If so, when will it
next be posted?"
Courtney Smith: "No, we don't publish it on our web site because the
CFTC publishes it for free on: cftc.gov"
"As a new subscriber I was sent a gratis back issue. In it (June 1999)
Lars Kestner reviewed the OptionVue 5 program, and you wrote a note that there
was to be a review of Omega Research's OptionStation, and a comparison of the
two. Has this appeared between then and the current issue, and if so, when?"
Courtney Smith: No,
we haven't reviewed the OptionStation program yet. However, we will have a review
of it and the Omega ProSuite in one of the next three issues.
your reviews of systems seem to be of futures trading. Are these outcomes also
applicable to the options on these underlying futures, or does trading commodities
options require different systems altogether?"
Courtney Smith: The
reason that we only test futures systems is that it is impossible to test systems
for trading options. We cannot get intraday data on every strike and so on. You
can obviously use options in conjunction with futures trading systems. However,
the results will be different because you have added an additional instrument
to the mix. Over the long run, I would imagine that the results would be similar
but the attributes of each system could be quite different. For example, it may
be that using a long term trend following system to buy long dated options may
work fine but using a two to three day system to buy the same options will not
work well at all.
words and terms in the CTCR are mysterious to a newcomer. Is there a basic glossary
you can recommend? It's not possible to judge from the website descriptions of
the books you offer which is basic and impartial and just gives simple descriptions
and definitions. Your suggestions would be much appreciated."
Courtney Smith: Let's
work on two different solutions. First, I want to put up a glossary on the site
for people to understand the various terms. Second, I will put up a page that
has products recommended for beginners.