Recent content by bluesdave

Point taken Spin.

NO PROBLEM. YOU'RE JUST NOT SEEING THE MECHANICS NOR THE TIMING, NOR THE REACTION OF THE CALLS TO THE MOVEMENT OF THE UNDERLYING OR THE IV. WELL THANK YOU CAPTAIN OBVIOUS. Any semblance of constructive criticism was gone with inclusion of the caps. I've removed a lot of my reply because...

spindr - thanks for your rockin explanation. For instance - I'm not trading in a margin approved account and can't sell naked anything. Pretend that I was investor with $1500 looking for strategies. That doesn't buy you alot of coverage, so I have to be creative with leveraging.

Okay, let me try it this way, Either way, thanks for trying spndr. Early assignment is the best thing that could happen because that would mean that you'd be booking the entire credit. (true - That would be great. The call I sold and the one I bought are both expensive. I win. ) But...

First let me apologize for asking so many questions. But something about this concerns me. I'm asking in context of the April / June example. For example - the stock trading @ 97 and the trade date is March 20. We said: Buy the April call - front month - 100 strike Sell the June...

spindr0 - Am I correct in assuming that you would sell the Feb on Thursday and buy it back on Friday as all of the IV exhausted overnight?

Question - If I'm buying the front month and selling the back I'm getting a credit up front. Great. But am I missing something? If the stock price passes the strike am I guaranteed to be exercised? Reason I ask is if the stock skyrockets and I'm not exercised, doesn't that make the...

Gazelle, I've attached the picture from TOS - thinkback. Hopefully I've used it correctly. 2/16 trade date, 3.15 debit, 530/540/550 butterfly yields 2075 p/l open. if you can't get the picture send me your email address and I'll send you a screen shot.

Hi everyone, I'm starting to change my thinking of options from regarding them as a gamble that they will go in the right direction to a product being bought and sold like anything else. And like anything else being bought and sold they can be underpriced , overpriced, underbought...

Sure - life never works in maximums and minimums, just increments in between. That said, those are the only two variables I'm getting my head around right now. What I'm really looking for is any thoughts on a) what could kill me from left field or b) advice on a better trade that's like this...

Hi all - long time listener, first time advise seeker. Let's say I have $360 and I'm a little bullish on google. I'd like to buy a 550 call and sell a 560 call. The difference between the two is 350 - and with 10 commissions I'm @ 360 on the dot. My max profit is $1000 - 360 = $640...

Okay - while I appreciate the effort of responses - I have two problems. MTE - Concentrate on the put - I have bought 14 and sold 13 dollar for the same expy. The stock is at 13 and there's five days left. So when you say "sell the position" you mean the broker will sell the 14, buy the...