As a Market Maker, there are things you don’t want to see

Stories from the pit [frep, frep header, header, logo] March 16, 2024 In this edition of "Stories from the pit", Andrew will be chiming in with his experiences as a floor trader and member of the CBOE - Mark As a Market Maker, there are things you don’t want to see and one of them was this…  Let’s take a walk back in time to a land far, far away. Before I was a boring old Mainer that never leaves the house, I was a floor trader and member of the Cboe and P-Coast for 15 years in the 90s to the mid 2000s. My first weeks trading were in Gulf War I in 1991. Back then the Dow was 1700, yes 1700, and my floor time total was two years to that point as a clerk. That was a big event, and the Dow moved 100 points in 1 day! The P-Coast floor traded over 150,000 contracts. Those were massive numbers 33 years ago!  Now that volume is just a strike for 0DTE in SPX. The next day I noticed a floor manager from a clearing firm come down and pull a member aside. It seems he was too short going into the GW1 invasion and he blew out. He got “the tap” on his shoulder. His account was out of dough and he could not meet margin requirements. The clearing firm manager quietly pulled him aside and out of the pit. His trading was over until he could find new capital. I saw this happen many times over the years, mostly to premium sellers.  When premium selling times were good, traders used to rip the buy sides off of their tickets, the black and brown side for buying calls and puts as opposed to the red and blue sides for selling calls and puts. It is funny. I wish I would have saved a few of them since no one uses them anymore. I tried like heck to find a picture on internet but to no avail That brings me to the current situation. And how it was very much like the Dot Com boom in the 1990s... [Read the full story here](  To Your Trading Success [Andrew Signature] Don't miss when our traders go live! Get an alert everytime we open the live rooms to all of our readers for free by selecting the calendar you use below. Add Option Pit Live Events to Your Calendar [Apple]( [Google]( [Outlook]( [Outlook.com]( [Office 365]( [Yahoo]( All the Right Options. The Option Pit Team brings more than 150 years of experience to you every day. From the trading pits of Chicago to the world's largest banks to the halls of power in DC -- they've done it all. Now they’re collectively focused on one thing: making YOU a better, more profitable trader. Click the button below to schedule a call with our concierge Customer Care Team to find your best fit today. DISCLAIMER: FOR EDUCATIONAL AND INFORMATION PURPOSES ONLY; NOT INVESTMENT ADVICE. The materials presented from Option Pit LLC are for your informational and educational purposes only. Neither Option Pit LLC nor its employees offer investment, legal or tax advice of any kind, and the analysis displayed with various tools does not constitute investment, legal or tax advice and should not be interpreted as such. Using the data and analysis contained in the materials for reasons other than the informational and educational purposes intended is at the user’s own risk. DISCLAIMER: OPTION PIT LLC IS NOT AN INVESTMENT ADVISOR OR REGISTERED BROKER. Option Pit LLC is not responsible for any losses that may occur from transactions effected based upon information or analysis contained in the presented materials. Specific trading ideas or strategies discussed in the presentations or materials are entirely illustrative and do not constitute the solicitation of a transaction (or transactions) or a recommendation to execute a particular transaction or implement a particular trading strategy. DISCLAIMER: TRADE AT YOUR OWN RISK; TRADING INVOLVES RISK OF LOSS; SEEK PROFESSIONAL ADVICE. To the extent that you make use of the concepts with the presentation material, you are solely responsible for the applicable trading or investment decision. Trading activity, including options transactions, can involve the risk of loss, so use caution when entering any option transaction. You trade at your own risk, and it is recommended you consult with a financial advisor for investment, legal or tax advice relating to options transactions. Want to change how you receive these emails? You can [Update your preferences]( This email was sent by support@optionpit.com. 1-888-872-3301 [Option Pit]( | 190 S LaSalle Suite 3000 Chicago, IL 60603 | [Privacy Policy](