Recent content by nagaraj_h

But the maximum loss is only $2000 - total credit received (when the underlying is above 720), since the put credit spread expires worthless. If the underlying is below 590, the call credit spread expires worthless and the loss is $1000 - total credit received. There is no reason to reduce BP...

There is no need to use offensive language. I do not represent any broker. Regarding margins on Iron Condor, I am not sure if we are referring to the same thing. I mean the reduction in buying power (BP) when I place the trade. Example: If I place a 590-600 Put credit spread and...

I also confirmed with IB about margin requirements. For an unbalanced Iron Condor, the total margin is sum of margins on each side of the Iron Condor. It doesn't make any sense. As a brokerage specializing in options, IB should know better.

From your description, it sounds like most of his investments are beta positive (increases in value with the overall market). I am tempted to recommend some beta negative vehicles like short ETFs on indices, sectors, etc. To protect against short term market spikes, he can sell covered calls...

I am trying to enter a Iron Butterfly (zero point Iron Condor, as Thinkorswim calls it). There is no such option in IB. Let me know if I am wrong. You are right. Thinkorswim is hands down the best broker when it comes to features. IB is better for commissions and executions. The only...

I have used Thinkorswim for options trading in the past and recently switched to Interactive Brokers. I don't know how to place a Iron Condor trade in one step. I do not want to place to vertical spread trades. I would appreciate any help on this. NR

I am still not able to display the diagram. Can you please explain in more detail?

I am new to IB and am wondering if IB has any tools to display theoretical profit/loss diagram as a function of underlying price, volatility, etc.

I am also interested in an adisory service that can generate consistent monthly income. I have traded spreads since the beginning of 2007. I did well last year, but got hit hard this year. I would appreciate if you can help me with this.