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If you believe that selling a credit spread for one slim nickel is benefiting from theta decay, you are not yet ready to trade options. That newsletter you bought is not going to help either. Good luck to you Mark http://blog.mdwoptions.com/options_for_rookies/blog_index.html

1) You are buying the wrong calls. Do not buy OTM options. 2) Consider calls as a stock substitute. If you must buy options, then consider buying ITM options with a delta in the 70 - 80 range. The time premium is small and you do well if your bullish prediction is correct. There are...

You don't have the slightest idea what you are talking about. Yes, ignorant option traders are likely to lose all their money. that's you. If there are far more ways to lose than to win, then choose one of the ways that wins. What's the big deal? The educated, disciplined trader...

IB does not own the options and has no right to exercise. I get that you don't trust them and I get that you think they would be 'stupid' to be honest. But why do you believe they have the ability remove options from your account and take ownership? File a complaint with the OCC if you...

IB provides all the information needed for a schedule D. If you are unfamiliar with that, call and speak with them or take a look at what's available under the annual reports. It's there. Mark

They are not going to change their rules for you. You can tell them what you are going to do, but it's meaningless. You cannot win. What you can do is find out how to get them to stop. No threats. Just ask. Then decide if you can live with those limitations. Mark

a) You will have difficulty selling this put at parity. The bids will be lower b) You will be assigned an exercise notice immediately. That means no profits and you must pay commissions c) Forget it. This is not viable Mark

Yes. You can always carry a short stock position - but only when your broker can borrow the shares. Plus - some brokers charge you a fee to carry short stock, so be certain to inquire about the specific stock - preferable before you are assigned. Mark

Most brokers charge a fee (higher than that of a stock trade). Others charge no fee, and it is free. Examine your broker's fees and commissions. It should be on their web page. Mark

Don't trade before you are ready. Read books, blogs, take free webinars, have patience. Mark http://blog.mdwoptions.com/options_for_rookies/

You cannot close the position by selling. You were already short. You cannot close the position by buying. You have no position to close. The assignment notice canceled the option. Assignment notices are final. Mark

Your premise is incorrect. Mark

You cannot educate those who want to be ignorant. Mark

It's probably far too late. But if you want to bet on more and more volatility, it's one way to play Mark

Never come to a form and discuss a trade without disclosing that it's not real TOS is notorious for making it look easy to get fills - but only with paper accounts. They seek gullible people like you to believe their place is better, when it is only more expensive. Try it will real money...

In theory you have no appeal and must accept the damage. In practice, speak with your broker about the indecency of selling a spread that was worth a fw dollars and being forced to pay a cash debit to close. They will tell you they use market orders to liquidate. tell them that's crap. You...

If both options are in the money when expiration arrives, they will cancel each other. But you will either pay or collect cash, depending on which puts you own. If they both expire out of the money, then they will disappear. If one expires in the money and the other out of the money, you...

The calls are NOT cheap. Just because the market declined, that does not mean calls are lower price than they were a day earlier. Implied volatility increased rapidly, making both calls and puts more expensive. I'm sure you are not yet ready to grasp implied volatility, but make an effort...

MMs do not charge a large premium. That is a common misconception. The individual investor forces the large premium. When the MM offers to sell options at $1.00 and buyers take what they have to sell, the offer moves to $1.10. When buyers take the offer again, the offer rises once more...

Once the trade has been made - and that means the buyer and seller have agreed upon a price and traded, their relationship is severed. The market maker is often one of the parties in a transaction. They establish the bid and ask pricess, although anyone can try to sell lower than the market...