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#679 - Options Traders Are Addicted To Prediction

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Synopsis

Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we’re going to be talking about why options traders are addicted to prediction. And it’s not necessarily just prediction in and of itself. It’s really surrounding this whole idea of seeking certainty and trying to avoid things that are uncertain, so everyone and especially traders and investors are addicts for prediction. And we’re trying to figure out where things are going to go and where they’re not going to go and what possibly it could be. Things like the weather, right? We try to forecast out the weather, but we all know that forecasting the weather even just a couple of days in advance is really almost impossible to get it totally accurate. But we try to do that. We try to forecast stocks or who will win the Super Bowl, what President is going to win the election, what’s for dinner this week. We forecast everything and we’re trying to create a level of prediction that gives us certainty and helps us avoid