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It's really what you feel comfortable with. Remember, selling DOTM means small profits. Less risk=less reward. Small gains can add up over time. They also add to your paperwork come tax time. You can make the gains larger by selling DOTM puts with expirations months to years away, such as LEAPS...

Right-on. Well put. That's exactly how it went. I left the bar when I saw the school marm. Just not before I had a few drinks...

Good point. I started out as a buyer of options in the 1990s. What I learned, and I believe it's true for most, is that you will occasionally have a big winner. However, the losses outsize the wins over the long haul. I'm sure that there are experts who have mastered the game, though. Tough game...

Of course. Absolutely correct. And yes, I'm not holding my breath that anything gets done. I've heard that "nothing getting done about it" is the norm. Just a good time to check out the process, especially for all the others who sold the contracts Thursday. My 7 contracts is small compared to...

To the first part...I don't really know what you're trying to say. Not that it matters, lol. I do know that I've been doing this for a long time, it's what I do for a living, and the brokerage account balance looks terrific. As for the second part, I agree it's likely that nothing gets done...

Good one, Lawrence! It never works out that way, though, does it? LOL

Ummmm...did you see that I'm doing this a long time, I do it for a living, and that I'm very successful with it? I guess not. I could teach you how to improve YOU'RE trading! I just came on here to get insight on regulatory process. Thanks for nothing, though...

As with anything else, you have to know what you're doing, and it requires a lot of time and a lot of capital. Each trade is a small gain, and the tax return is very thick. I enjoy it, but it's not for everyone. One bad trade can wipe out week's of good ones. And, as you can see by this thread...

A) No. And, B) he bought some at the ask as well. Remember, it's Thursday afternoon, the option is rather far out of the money (over 10%), the stock's been rather flat all week...the minimum bid was all he needed in order to buy. Going double the minimum bid was being "patiently aggressive". As...

Many years. This whole millenium, actually. It's not my first question. You make it sound like I should know the answer. Guess I've been lucky. So what's the answer, then, ktm? As I said in an earlier post...I've seen it on a few occasions. I was able to let it go because even with the...

Nothing like that at all. Someone has to be willing to sell, or else the buyer can't buy (at least not at their bid). Sometimes the bid is out there all day. I'm not shy about selling contracts for even a penny or two. They accomplish what they needed...to get out of their contracts...and I earn...

RRY16, thanks for the change of heart, and welcome back. I certainly have considered asking my broker what exchange my contracts were traded on. I actually have a relationship manager there that I speak with regularly. If you believe that the information will be useful to me, and not just...

True, lindq. There are certainly others that got hurt much more than me. I only sold 7 of those few hundred contracts. Hopefully the others will follow what I'm trying to get started. Is filing a complaint with the S.E.C. THE way, and THE ONLY way, to seek justice with this?

Hi neke. You're right-on until the math. The options closed at $3.30. A few hundred contracts sold that day, all between 10 and 15 cents. NONE at the minimum bid of 5 cents...he (they) never bid 5 cents. I can tell you as a long-time seller of options, that is not normal. Very confidant buyer(s)...

Agreed. I just went ahead and did it. Thanks so much! Also, you are correct in that the stock movement on the 14th doesn't really reflect the insider trading...only those put options. But that's where the big money was to be made by those privileged.

The buyer also paid the ask over the course of the trading session. 2 or 3 contracts at a time adds up. It added up to a few hundred contracts, in fact. The exact reason he did not put up the number of contracts he REALLY wanted to buy only he knows. It seems he was disguising it. Not the first...

Hi Option Guru. There was a spike, and it was indeed a red flag. However, as option expiration nears there is often a spike in out-of-the-money options due to traders looking to exit their option positions. As an option seller, I help them get it done. The red flag here was not merely the late...

You're REAL nice. I sell options for a living. Been doing it a very long time, with great success I might add. I see how your mind works. Seems like you are nothing but a troll. YOU move along.

The company doesn't report earnings until 4/28. Options expiration has passed. The company did not announce that they were going to pre-announce...but the option buyers quite obviously had this information...hence insider trading on the options.

Thanks so much for the reply. The company is Super Micro Computer, Symbol SMCI, and they pre-announced a very bad quarter at 6:45 PM Thursday April 14.