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I can't help but notice there is no bid for the ones up top. o_O

Historically, January is a high return month for the S&P500. Take a look at https://www.yardeni.com/pub/stmktreturns.pdf

Re 3: I don't think the question came across right: Even if the maintenance margin is 30%, the quoted number from the broker isn't 30% of the price. The margin for 30% of $127.14 is $38.14, not $32.18. Either they are not quoting properly, or they are quoting something different than the...

While reading about the TQQQ split coming up tomorrow, I also looked at SQQQ, which has split multiple times recently. OCC says that SQQQ options are now called SQQQ2, and the deliverable is now only 20 shares, rather than the usual 100. Looking through this further, It seems they are gimped...

I used to give those dystopian interview questions. I didn't read this whole thread but if anyone is interested in what and why: Big Tech is desperately worried about "scale". Things need to be "scalable". It's the core of their mindset, and permeates into other parts of life. At the...

For my own understanding of what I am trading, I am trying to figure out what are the real, actual margin equations being used. For the sake of example, let's use AAPL. 1. For short selling, what price is used for margin calculation? Bid, Ask, Last or something else entirely? 2. My...

Netflix subscriptions go steadily up and to the right. Basically no one cancels. There is not nearly as much competition as you think; Netflix is competing against cable, not other streaming services. (People with D+ or HBO max don't cancel their Netflix, they end up with both.) I'm long...

As of late, forgetting his password has probably resulted in his net-worth going up.

That's a good idea. I hadn't considered before, but now I recall hearing someone say the assignment in /ES isn't as bad as the ETF assignment. Going a little further: why not sell defined risk on /ES? Right, but I would be amazed if people tried to risk management based on a number-of-shares...

I think the S&P 500 will not drop by more than 10% By February 19th, 2021. $SPY at close was $378.77. 90% of this is $340.89. There are three ways I consider trading this: 1. Sell a Put vertical spread at 340 to 335, currently at $4.68. Max profit: $32, Collateral: $500. 2. Sell a...

Again, without knowing the specific strikes, dividends, european/american, etc., it will be hard to answer. It's like asking which of the following two expressions is greater? 1. max(X, Y) 2. max(max(A, B), C). Without knowing any of the variables, who could say?

The price represents what the market knows. If the market knew the price would be $70, then the price couldn't be $50 to begin with. In other words, it would be a contradiction of rationality to have the price be different than what the traders expect the price to be. The option price...

It seems like you are asking "Is buying these two things the same as buying this one other thing?", to which the answer is "look it up". The easiest way to know it is to check the prices for today. If you give us the exact options contracts you are looking at, we can give a better answer...

What does that have to do with CEFs?

For myself at least, I have some cognitive dissonance about this. For my regular accounts, yeah, and arguably we are the ones who help squeeze any inefficiency out. But for my 401k, I find myself taking refuge in index funds.

I noticed this at first, but it also seems like if it doesn't immediately get filled, I have to walk the bid price up when buying. I have my suspicion that HFT firms identify this behavior, and refuse to fill it until it reaches the ask.

I'm surprised to see no one mention modern portfolio theory, the efficient frontier, or the tangency portfolio. As other have mentioned, investing in individual companies is a gamble, but the real criticism is that it's an unnecessary risk. The benchmark for investing vs. trading should be...

When I trade options, I usually like to work with SPY and QQQ LEAPS. Trading these tend to have pretty large spreads for new expiration dates, like the recent Dec 2023 options. The options there have a bid-ask spread of around $5, which is pretty wide for the premium. In my price range...

I guess my question is why would someone buy into a CEF when there is a high chance it won't achieve its objective?

Alas, I do know about prospectuses, but they don't make reading them exciting. I did look through the SQQQ prospectus, but the whole doc is like 750 pages, so it's hard to see why the fund doesn't dissolve. Hazarding a guess: APs eventually create too many shares (creation units?) of SQQQ...