Recent content by thebubs

I know I will get flack for this and yes I already have the position on, but anyone intrested in a short term spec option check out the Sept 14 call on Blackstone currently trading at 15-20c stock. The price as a write is 13.82, average daily move of stock is roughly 20-25c. The greeks are as...

acen, that makes sense always buy the cheaper, do that in any area of life, with same quality of course. I get that the dividend makes the calls cheaper if the dividend date is during the spread, but my question is the following. Why, how does the dividend make any diffrence when playing...

has anyone considered the fact that the calender call is cheaper, because more people play the put side because they are protecting their stock positions Sept-Oct Call $21 +DOWIY 0.80 0.90 S 0.95 0.55 413 6,160 +DOWJY 1.35 1.45 S 1.45 0.50 258 843 price 55c 55c...

very true, i think the main diffrence between the two is what you do with the back end, other then that I would agree they are the same.

here is an example using GE Sept/Oct calender calls on 14 strike price Calendar Call 14 strike price Sept +GEWIN 0.51 0.52 0.52 -0.08 5,317 Vol. 143,084 Oct GEWJN 0.85 0.87 0.87 -0.07 1,792 Vol. 13,849 Price difference .85-.51= 0.34 Calendar Put...

agreed

I think we bascially agree they are both bearish in the near term, the reason why I have started using them is that they are near parity to begin with while the OTM puts seem to have a larger price gap (speaking in generalities, not all of course). Your last point I dont agree with or am...

Right but with the calender put your direction is further down (if your right), it is a bearish bet right? where as a calender call is short term bearish, long term bullish (if you right)- thats my thinking

but with a put calender you a looking for a continual downward movement versus a ITM call calender where you are looking for a short term down and then a recovery

I my original post confused people let me try to clarify, try not to get too stuck on symantics: I placed a calender call, ie sold the Sept 16 strike price call bought the Oct 16 strike price call, for a net cost to me of 22c per. If my terms...

I have been buying calender calls lately with some success. What are the experts thought on ITM calender calls, it seems like a nice wager if you see the stock going lower in the near term. Seems like a "safer" way to go then doing a put spread, thought being if you are wrong the diffrecne...

just an update the stock continued to go up so I bought the option back prior to noon so I did not find out if they really were going to exercise it with out my permission, regardless I am defidently looking for a new broker.

sadly i did not know this when i opened my account, its literature is very similar to schwabs that says if they have instructions from you they will follow them