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this line confuses me: " If the stock has halted, they can't buy you in. They can charge you a VERY high fee while you are short. " why would i be charged a fee if I can't be bought in while the stock is halted?

i see... so I would 'buy it' at current MV and deliver to the buyer (caller exercised) at the OTM price. sounds like a profitable scenario now that i am typing it out... If I am shorting at a lower price than what I am selling to the call buyer at, wouldn't that be a net positive equation...

actually, the reverse. halted on bad news... it's a weird Q but wanted to understand the risks and how the system works...

I have no idea but wanted to know in the event that somebody makes a weird error like that... I would still have to fulfill the obligations of the contract...

Hi, what happens when you sell a call option and then the stock is halted? I am considering sell OTM calls on a stock that has just had some very bad press. if the stock is halted or de-listed, could I still get assigned if it is Out of the Money? How would I deliver on the halted stock? I...

so this is where misinformation starts... so how does the pricing formula for short term options differ from mid term to long term. i.e. weekly vs monthly vs LEAPS... thanks!

on a similar note... is there a way to calculate (understanding that different MM and ppl use different formulas) the rough IV value of an option? that is to separate the intrinsic value vs extrinsic; and separating the extrinsic to time value and IV. likewise, which formulas to use for short...

So it seems like what I observed initially. All the greeks and the BSM stuff are general guidelines. general rules that all traders and MM should understand. However, the pricing itself is really up to the MM and things will sell for what the market can bear. It looks like our role as traders...

haha! it will only get better from here!

Interesting... I was hoping to connect with someone who's actually tried those courses. Please PM if you do. Some of the claims by some of those schools seem out of this world... classic too good to be true type scenario...

Thanks! The Preston and Sherbin book looks interesting... I'll add that to my ever growing reading list.

hmmm... didn't know the TT guys were former market makers. I've read various books on options (McMillan on options, etc...) While I understand it in theory (to my knowledge level anyway), I do not have the knowledge to connect the theory to the actual practice of it. At least not as well as I...

Yeah, i've found the actual fill prices to be so variable ... MM gotta manage their book too. Sometimes I sell an option and get it closer to the ask (above the mid), other times not. Same for the buy to close for the bid... Other times I see the MM play a game of baiting by having really wide...

cool. that's on my list to read. I'll check it out. I recently read 'Time is Money' by Kerry Given. Pretty good book. I've noticed there are three types of books: 1) the 'academics' books - books by academics that aren't traders and therefore lack the traders perspective or reality. 2) the...

I've noticed that ppl regard (or used to) the BSM model quite highly. However, the real life pricing can be quite a bit different. MM's playing games with pricing (baiting, etc..). I've seen bids and asks on different strike prices which didn't seem to make much sense. Especially with wide...

Hi, looking into different schools/training providers to improve my trading. Many options out there (haha) but which ones provide valuable education that is not already out there in books, internet, etc... wanted to hear about your personal experiences with: 1) steady options 2) sj options...

Yep, understanding your own risk management is key to becoming a top trader. Know thyself. Then the stops will be placed properly. We can't win them all.

Can you see stops? I spoke with rep at IB and was told that stops do not show up because they are held on the system until the event triggers it. I have also heard that ppl/big boys who trade a particular stock/instrument will know where ppl will typically place their stops. I've also read...

Yes, the infamous trade of a lifetime... Funny how those show up almost daily. TSLA was a great one today. Once it broke 200... Boom! Hope someone caught that!

Thats your mindset and that's too bad. It's an abundant world. There are lots of ppl out there that share their findings. Books, websites, interviews, etc... I'm also happy to pay for research. Eg buying bukowski's books. At the end of the day, the best traders take the information and...