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Do you use the OG scan for TLJ trades? If so, is it useful? Where in OG is it? daddy's boy

And a synthetic long underlying has no greeks (apart from delta of 1). daddy's boy

True, and everyone goes through this phase (well, almost everyone). Sorry, but I digress and should be in chitchat, no? daddy's boy

Arnie not like daddy's boy :( but daddy's boy still like Arnie (and I promise I won't bring up the greeks again). Thank the Lord options trading is not a popularity contest :D

My 2 cents: Trading options is risky. Trading is risky. Not trading is also risky. And not knowing what one is doing is probably the most risky of all (based on personal experience :mad: ). daddy's boy

I was giving you the benefit of doubt :) daddy's boy

Hi, Long stock and short call (aka covered call) is synthetically the same as a short put (a limited risk strategy, lol) - in your case the short call is covered by the long stock and thus there should be no need for margin. In your second example you have short stock and a short put position...

I think knowing one's time of death (ETD aka expected time of death) makes a difference. The difference depends on exactly how many days there are left to live. For example, knowing you have 7 days to live would result in different behaviour than knowing you have 1000 days to live. And...

From a poster on 'optionsxpress.com' discussion board: "The "Tarzan Loves Jane" or "TLJ" is an Optionetics label for a double diagonal ratio spread. The idea is that you have a trade that has an unlimited upside profit potential, an unlimited downside profit potential, and a profit zone between...

"the option trader handbook - strategies and trade adjustments" by Jabbour and Budwick (wiley publishing) daddy's boy

What's going on here? Is optionsguy the same as tower or is mrspread our tower? Who has changed what??? Where are the children? I thought this was an adult site. daddy's boy

Hi uncletom What tums means is if there is extrinsic (aka time) value left in the option then the buyer has little reason to exercise it since he would end up forfeiting the time value - why would he throw that money out the window? Btw the term used is assignment, i.e. you are 'assigned' if...

But this is exactly what makes ET so much fun, a little bit of the old fisticuffs and learning through humiliation and sarcasm and a swift kick up the butt :D . You've got to love it! But in all fairness, Tower seems like a nice human being and his info is mostly right - I like him. daddy's boy

Thanks momoney and Don - great food for thought. daddy's boy

That's very interesting. I suspect that there is a point beyond which any adjustment is too horrible to contemplate - a bit like a 'point of no return'. But there may also be a point at which a losing position can be adjusted relatively 'well'. As an example let's say I'm bullish on an index and...

Hi MTE Thanks for your quick reply. Your philosophy is the one I've been following for a while also. However I'm now finding myself tinkering with the idea of adjusting losing positions (up to a point) knowing that rr will be worse but overall max position risk can be kept the same. So far, I'm...

Hi everybody! I hope you are all well and having some fun! I won't ask about recommended books, lol. Instead I want to ask about a topic I haven't seen on ET before (although I could be wrong, in which case Momoney will point it out :)) Ok, there seem to be 2 schools of thought in regard to...

Well, you could purchase a slightly otm put with at least 3 weeks to expiry. This would turn your long stock into a synthetic long call. The strike and expiry selection really depend on how much risk you want to take and what you think the underlying will do and over how long it will take to do...

I'm with TOS and OX. So far, TOS is by far the better of the two in terms of service, order placement and trading platform. daddy's boy