Long straddle delta hedge

CookieMonsta88

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Hi,

Recently I have found afew limitation in the black and scholes equation and I have a theory on how to exploit it.

Anyone interested to discuss it? If it can be backed by real data it would be best.

The main things are regarding options premium decay and the delta hedge numbers Vs realized volatility.

First exploit is the Gaussian bellcurve probability model they assume.

One more thing, trolls will not be entertained and please keep the discussion civil.
 
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