Search results

What 'board' are you guys referring to? db

The difference is that when they stuff up the taxpayer ends up footing the bill. When a trader stuffs up he foots the bill :). db

Hi zdreg Thanks for your feedback. I think I probably didn't express myself clearly enough so I'll try again. There is no advantage in selling over buying options (see above quote). Period. This assumes that the trader knows what he's doing. Iow a good trader will make money whether he buys...

Nice summary Jeff. Cheers db

Hi FF Some know a lot, some are clueless and most are somewhere in between. Who belongs to which group you have to work out yourself. Unfortunately, at the moment, you are very angry and upset - understandably so since you have suffered some rather hefty losses. So you need to make a decision...

And if it doesn't sit still or if it moves quickly or if vol goes up then the long option can be the winner. Unfortunately everything in trading is 'IF'. So we're back again at square one: there is no advantage of selling over buying. This topic has been thrashed to death on this forum...

How do you mean 'the other way around'? If he's short the 170 put and long the 150 put then he would need to buy the 170 put and sell the 150 to close. This is the same as buying the 170 call and selling the 150 call (all else being equal) - please correct me if I'm misunderstanding something...

Another option is to create a lock. Iow trade the synthetic otm diagonal. The otm are usually more liquid than itm. I'm not quite sure which is your long leg but let's say you've got the oct/sep 150/170 put diagonal, i.e. you're long the oct 150 put and short the sep 170 put, both of which are...

married put = long stock + long put=synthetic long call. thus: call=stock price - put strike + put value+interest-dividends note that: interest component minus div is your cost of carry aka rc ( i.e. 'reversal/conversion'). e.g. stock 46.50, put strike is 40 and costs 0.60 to buy, rc is...

All is ok benysl, us boys/girls are just having a bit of fun, it's all to do with testosterone and some come to this forum to let off steam :). Your position is very interesting and so far looks fine. db

It's always nice to have the last word :). db

This is a good example of what happens when one doesn't complete high school and thus can't muster anything better than the above. Another thing to be learned from this thread is that if you're too delicate or emotionally fragile (like our friend cluseau and the other girls in her group) then...

It hurts to be shown ignorant doesn't it? :). db

Lol! Well, there's 'little risk', 'medium risk' and 'big risk' :). I would call benysl example a 'little risk' trade, especially if only one calendarised IC is involved. db

Why don't you read the posts properly before responding? Noone claimed that this was a risk free trade. If you have nothing better to do than to post newby type rubbish then do us all a favour and find another site - I'm sure we all realise that there's no "free money" (duhhh). We're all here to...

"double diagonal aka straddle strangle swap or calendarised iron wing spread. Usually configured as short closer dated straddle or strangle protected by wider strike further dated strangle." (OTTHR cottle). It's good to see you had a hearty laugh (after all, laughter is the best medicine) but...

So far, so good :). db

At today's close the above trade could have been done for a credit of 0.10. db

Rolling the short put down and out: the sep/oct short diagonal (buying the sep 46 put and selling oct 45 put) is currently around even (eod data 8/16/07). db

To add to majorursa's post, if your short call has some intrinsic value at expiry (0.05 or more) you will be assigned and end up with a short stock position. You have to be careful. db