Hello, what exactly is meant by this statement:
"The purchase of an option will be profitable if it's trade price is less than its value at expiration. The sale of an option will be profitable if it's trade price is greater than its value at expiration."
Thanks for the guidance.
I was trying to send an order for a covered call on TOS paper trading when I clicked a button that reversed my order to buy a call and short the stock, is there a name for this strategy?
Usually the walk forward test period is 20% of the sample data. So if I back tested and optimized a strategy on 10 years data, I would walk forward the system on two years unseen data.
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