Contrarily, if you're just expecting lots of volatility (relative to IV of the put you'd be buying), then XMR + Put is the best position available (long straddle/strangle could be argued as well depending on your upside bias/vol expectation).
(I think you probably understand these things already, but others may not.)
(I think you probably understand these things already, but others may not.)
I have the plan to start offering discount pricing on straddle/strange etc. strategies that require the purchase of 2-3 options for one position. Currently I need to ask so high spreads that those don't work at all. The high spreads are due to manual work and (still) quite bad liquidity of the underlying. Typically I would want to hedge the option with a purchase or sale of the underlying, the same amount as the option premium. But this 3000 XMR action can move the underlying by 5% or even more, necessitating a high spread! (And this does not even count the case where the buyer goes to manipulate the market right after buying the option, denying me of profitable hedging. This has not happened so far but will
)Offering discount on positions that are easy to hedge for me and don't make the administrative work any larger would make sense.