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    Excercising = Buying/Selling shares?

    If they answer the phone. If they are not too busy. Once the deadline passes, it's too late. Mark
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    Early assignment on the short leg of a spread?

    The only way to know FOR CERTAIN is to ask YOUR broker how they handle such a situation. There is no universal rule here. My guess is they will blow out the stock and inform you that closing a position is not the proper way to meet a margin call. You may get away with it once, but not more...
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    SPY ex div on fri- early exercise?

    If the dividend is 50 cents and the put is available for significantly less than that [also add trading costs and cost to carry stock], then the call owner should exercise and buy the put. That's an equivalent position and free money. So yes, lower strikes should also be exercised. If you...
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    How to be a Guru in 10 easy Steps

    There is something wrong with your reading comprehension 1) Yes, early assignment of American style options is not a problem (except for cash settled, OEX). 2) I prefer to trade European style options. BUT NOT BECAUSE o any assignment risk. It's because I prefer to trade those underlying...
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    How to be a Guru in 10 easy Steps

    You have no friends here. Goodbye. Mark
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    Position Greeks

    Agree completely. The software gives you the immediate answers (which you do need to manage risk). But your goal right now is to LEARN and UNDERSTAND. Shortcuts do not help you accomplish either objective Mark
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    JeffZiegler and theOptionClub thoughts?

    This course is not for you. It's easy to generate a profit 95% of the time. (Honest). But the trades you make to generate those profits are very small. So small that when you lsoe 5% of the time, it's very likely those losses will more than offset the gains. the 85% number is just a...
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    Risk Realities

    1) There are only two 'types' of options: Puts and Calls. Obviously that's not what you meant to ask. 2) Ease of trading is not important. What is important? You must understand how options work and you must understand the rationale behind trading a specific option strategy...
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    How to be a Guru in 10 easy Steps

    Mark
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    How to be a Guru in 10 easy Steps

    I just love when people who don't get it resort to 'LOL' or insults. Mark The Rookie's Guide to Options
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    How to be a Guru in 10 easy Steps

    You anger is misplaced 8) And if I were to show audited results - it would tell you nothing. I have no 'method.' I do not sell newsletters. I do not sell 'picks' I do not sell a system. I sell education to beginners. I provide outstanding education at a very low price...
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    How to be a Guru in 10 easy Steps

    If you fail to recognize that the most important thing you can do - once you have opened a position - is to manage the risk of that position, then I feel sorry for you and your prospects of making money from the options markets. The most important qualities required for long-term success as a...
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    How to be a Guru in 10 easy Steps

    How in this world does your preface refer to my reply to your question? I am not a guru. I sell no methods. You asked WHY anyone was NOT assigned early. What kind of a question is that? And best of all - you like to ask questions but - so far - have refused to reply to mine. So...
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    Excercising = Buying/Selling shares?

    Mark http://blog.mdwoptions.com
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    Burned by Early Assignment Margin

    Yes (I live in Evanston), but this is not the proper forum to discuss. Send e-mail or private message and I'll provide more details. mark at mdwoptions dot com Thanks Mark
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    Have you ever got any early assignments?

    Yes, I have. During expiration week. One or two at a time (for maximum commission pain). Always calls, never puts. This was many years ago, before there were any deep discount brokers. In recent years have traded only European options. Mark
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    Seems options is becoming a big thing, now on TV :)

    IMHO The Prudent Man Rule is written to protect fiduciaries, not customers. The rule states that a fiduciary must invest as other prudent investors would invest. Because using options is outside the network or 'universally accepted' investment tools, collars are just not acceptable - by...
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    If you always sell ATM Covered Calls, you will not recover if stock goes down?

    1) You do not get assigned on out of the money calls. If the stock goes down, the ATM calls become OTM calls and there is NO CHANCE that you will be assigned. 2) Selling OTM calls results in even larger losses than selling ATM calls. Thus this is a bad idea. 3) Yes, writing covered calls...
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