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My bad. Tongue in cheek doesn't work well on the internet.

Just double down by averaging down/up until you're eventually in the green. I've only ever lost once doing this. :)

Me too. Friday can't come soon enough. Theta drip feels so slow with the amount of gamma on the table. I'd imagine the theta will start pouring in at 2 pm ET this afternoon, but who knows which way the market will move after the Fed minutes.

Slim pickings for the end of the earnings cycle. I entered into a put ratio spread near the close to give me something to do in the morning. Bot Aug 77 puts @$2.27 x 2 Sold Aug 75 puts @ $1.33 x 4

*sigh*

[shakes head] Plot P/L vs. underlying. They look the same. If they don't, just stick with buying plain vanilla stocks.

MCD is not a fast-food company, but rather a real estate company. How will the eventual rise in interest rates affect it?

It's been a pretty good earnings season for me. Except for AAPL, all the neutral plays have worked. ATM Aug 5 straddle ($41) closed at ~$3.10. After hours move was +$0.50 to $41.30. I'm hoping for the calendar to open at around $0.75+ tomorrow morning for a 200% gain.

To make ndtrader happy, I'm long the Aug5/Aug19 41 call calendar in ATVI @0.25 x 40.

Just a couple of the big bank brokerages. BMO Investorline and TD Direct Invest.

For any kind of trading volume, IB is the only way to go in my mind. I have no complaints. I also have BMOIL and TDDI, but w/o TOS for my buy-and-hold equity only portfolio.

A tent vs. an...igloo (first thing that comes to mind). Not sure if that means anything to anyone.

Exactly. The convexity speaks to the difference in gamma between the two setups.

I have nothing against calendars for earnings play. I actually used a calendar for AAPL. I won't repeat myself about integrals between the b/e and the ability to customize strangle widths. Like I said before, TSLA had already guided earlier in the quarter--hence the lower IV relative to other...

Closed the strangle. As I was legging out, my 3-year old powered down my computer. I logged back in through the iPad and I ended up having two buy orders on the call side. Sure, I could have made more with a calendar, but the alligator tears I was shedding while closing the position reminded...

Iron condor isn't undefined, but I get your point on gap risk. But that risk is not uncompensated like I posted earlier. I'm not anti calendars at all. My first ever option trade was an earnings calendar on Dell with both legs making a profit. ROM just isn't the end all, be all.

It is not. Undefined risk trades would therefore by definition never have potential for a 100% ROM as compared to debit spreads. Does this mean they don't have their place in trading?

Of course it is--it's pinning the strike @$224. Yes, in this instance a calendar would have been better than a strangle. But I won't be shedding any tears taking this profit. Again, I don't care about margin.

Edit: integral of short STRANGLE between b/e points >> integral of calendar between b/e points

Another thing to note about the strangle is that the unlimited risk is not uncompensated. There is a significant difference in gamma which has the following effect. If one considers the plot of P/L vs. the underlying: integral of short straddle between b/e points >> integral of calendar...