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The Skinny On Options Data Science

Math is the most feared four-lettered word around, even to Tom and Tony. Luckily the well dressed Dr. Data is here to show how to tame the beast and even use it to make money. Check out his segments on analysis and data manipulation to understand the reasoning behind our trades.

Expectations vs Reality
Nov 19, 2019
In today's Skinny on Options Data Science, Dr. Data explained the expected move cones that are seen in each Cherry Picks -- how often do they work in practice?
Data Science Links and Spreadsheets
Jan 18, 2018
Dr. Data (Michael Rechenthin, PhD) shows off a few of his favorite websites and spreadsheets.
Impact of Increasing IV
Aug 10, 2017
Through a series of theoretical Monte Carlo simulations, Michael Rechenthin, PhD examines the question -- What would happen if implied volatility increases after placing a short strangle?
Market Probabilities
Apr 13, 2017
Dr. Data talks about probabilities related to market direction. What is the probability of having a 5th "up" day, after 4 previous "up" days.
Stats Around Corporate Bonds
Mar 23, 2017
Dr. Data joins Tony and Pete in the studio to talk about Corporate Bonds. Through a series of graphics he makes sense of a complicated topic.
Scraping Websites for Data
Mar 9, 2017
Calling all nerds. Dr. Data talks about the methods they use to capture data that they use in the show. You're not gonna want to miss this one.
Machine Learning Trump's Tweets
Feb 23, 2017
Dr. Data examined over 30,500 of Donald Trump's tweets to better understand how modern data science techniques can be used to find the most popular themes and tone of tweets for each year.
Third Most Important Thing to Consider (w/ Spreadsheet)
Feb 9, 2017
Dr. Data introduces another mathematical creation -- a spreadsheet to analyze two brokerage firms commissions. Use it to compare any two brokerages.
The Data Behind Scaling Positions
Jan 26, 2017
As we become more profitable, should we scale the number of contracts, or keep the position sizing relatively constant? This is the question that Michael Rechenthin, PhD wanted to solve.
How Often Within Expected?
Jan 12, 2017
How often do stocks stay within their expected ranges? Using a large-scale backtest, Dr. Data find the solution.
The New "Cherry Picks" Newsletter
Jan 5, 2017
Dr. Data talks about our new weekly Cherry Picks newsletter, which provides market commentary and trade ideas. Get a comprehensive look at the newsletter and how to apply it to your trades and portfolio!
Why We Need a Larger Toaster
Dec 29, 2016
Dr. Data joins Tom and Tony to discuss what is more capital efficient, closing a position at expiration or managing the position? Find out what makes a portfolio more efficient.
Outlier Detection
Dec 22, 2016
Research's Michael Rechenthin discusses outliers in the S&P 500. Watch the segment to better understand why staying small is so important.
Do Collars Choke Profits?
Dec 8, 2016
Dr Data's takes a look at two collar strategies compared to the S&P 500 (with dividends) and his suggested strategy of a short at-the-money Put.
Volatility Hurts Passive Investing
Nov 3, 2016
We strongly believe that you should take control of your finances and instead of a passive, buy-and-hold approach, put your money to work trading our way. Dr. Data brings the logic and tools to make it clear that passive investing is a mistake.
VIX Predictability?
Oct 20, 2016
Dr. Data joins Tom and Tony to discuss an age old question; does the VIX have the ability to predict the future market volatility? Tune in to get his reading on the topic!
Option Pricing Calculator
Oct 6, 2016
Calling all Nerds. Michael Rechenthin, PhD provides an Excel spreadsheet that helps new option traders understand how options react to changes in inputs.
Hedging a Large Account (w/ Spreadsheet)
Sep 29, 2016
Dr. Data created a downloadable spreadsheet that will work with the thinkorswim platform and can help you with either your hedging needs or in constructing a pairs trade.
Probabilistic Stock Outcomes (w/ Spreadsheet)
Sep 15, 2016
The Black-Scholes formula for pricing options assumes stocks will have a normal distribution. Using that assumption we can calculate the probability that a stock will fall between two price points and different variations. How do we do that?
Max. ROC on Covered Calls (w/ Spreadsheet)
Sep 8, 2016
Buying Junk Bonds and dividend paying stocks in a search of yield? How many shares do I need to make specific dollar amount per month in dividends and what strategies to use? Dr. Data brings a spreadsheet to help.
Cool Visuals For Data Science
Sep 1, 2016
Michael Rechenthin, Ph.D. joins Tom and Tony to explain that only "...when we do something with data, when we visualize it, does it become something useful. It becomes knowledge."
How Timespans Affect IV Rank
Aug 25, 2016
An outlier move can distort IV rankings, although IV percentile is not really impacted. How exactly does IVR work, how do outlier moves affect IVR and why should IVR levels improve soon? Dr. Data joins the guys to explain things.
Backtesting Active vs. Passive
Aug 18, 2016
Michael Rechenthin, PhD provides a strong backtest showing how using options has historically outperformed a buy-and-hold approach and has done so with less volatility.
Data Around Bond ETFs
Aug 11, 2016
Dr. Data explains how bond ETFs have risks that may not seem apparent.
Vega's Impact  (w/ thinkscript)
Jul 29, 2016
Why do Calendars benefit from a boost in IV and how does Vega come into play? Dr. Data joins the guys to help explain and provides a thinkscript that can be added to your thinkorswim platform.

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