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It's $9.45 x 100 (shares/contract) = $945 per contract. You need 100 contracts to cover your 10,000 shorts. (A total of $94,500)

overland, Drop me a PM with your email address, and I'll try to help. I can recommend a few good books and try to help construct a conversion that makes sense. You can easily convert your current position into a straight put (limited risk, unlimited reward). One way or the other, you'll...

I suppose, but you might want to take a look at the Probability of Ruin formulas. The more you demand from your money, the more likely you are to lose it all. Let's say 30% is a good yearly return for a good trader. You shouldn't be expecting to make more than $4500 per year. If you're expecting...

OptionTrader: I'm not being critical, just curious. Why keep the name of your broker secret? Surely they wouldn't mind the advertising, and it's not like you'll get a worse commission if you refer people?

IB is now $.75/contract with a $1 min per trade. IB has no fee for executing an option. I vastly prefer Tradestation's platform, but they charge $25 for each execution, and are still at $1/contract commissions.

In my experience, if I submit a non marketable order, it appears on BOX, PHLX, or CBOE. I've never had a price appear on Tradestation that I could not get on IB. In addition, like I said, I got 3 straight price improvements not long ago (i.e. I submitted limit orders above the bid/below the ask...

Nope. Think about it--"unlimited" risk (as the stock can go to 0), limited gain (the most you can collect is your premium for the sold call. Exactly the same as a naked put.

A covered call is exactly the same as a naked put (except with higher margin requirements). If you're comfortable selling covered calls, you should be equally comfortable selling naked puts. Food for thought.

I wasn't aware TMBR did market making for options? Are you sure they do?

Don't forget InteractiveBrokers. $.75 per contract ($1/trade minimum). They will also let you do combo trades natively. I'd been using Tradestation almost exclusively until I got 3 price improvements in 3 straight trades at IB. If I start trading huge numbers of contracts, I'd probably take a...

I think you (like most people looking at options) have been turned off by the "earn 300% overnight!" hype. It's simply not true. Sure, I've had the options trade that more than tripled overnight (look at CME mid-October to see a recent example). But it certainly isn't the norm. Money...