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Trading US markets retail is NO PROBLEM! Trading US market prop is different to retail!

Generally, it is a continuous process, however due to the bid ask spread and a tick of 0.05 (US options) you can't really see it. Besides, even if the tick was 0.01 you'd need to hold everything else constant, which is impossible, in order to actually "see" decay.

Where's info overload? I don't see it. It's really simple, IV rises going into announcement and gets crushed on announcement. So, if you buy in advance then you're playing rising volatility and want to get out before the announcement and if you buy just before the announcement then you are...

Yeah right, and you're posting this because.... Even if it is true and I'm not saying it isn't, there's nothing we can do about this but hope that it's not true and if turns out to be true then we'll just have to move someplace else. Btw, if this is an actual response from Tom, then don't...

Risk, yes! Reward, no! Anyway, this is a pointless discussion.

The point is not whether you are long or short stock, the point is that he/she is both short stock and short calls!? Why expose yourself to double whammy!?

I just listened to the conference call on the merger and didn't get an impression that this is all bad for us, TOS customers, but at the same time, I don't quite see any benefits for us either as it looks like the main beneficiaries are the Investools customers, but we shall see. The main...

shorting stock and shorting calls into FOMC is asking for it!

Well, if there was a guide that had all these accurate statistics then don't you think they would become obsolete fairly quickly as everyone would pile in on them!? If you want something that works then stop asking questions and start doing your own research!

There are virtually hundreds of threads on this topic, and a new one pops up, at least, every week. Use the SEARCH button or explore the Career Trader forum

Arturo, Really, you've been wasting people's time. Next time make sure you specify that you have a warrant, which you bought on a european exchange! There's a huge difference! Now, for settlement value this is used to settle your warrant you'll have to refer to your warrant's contract...

Can you provide the exact ticker of the underlying? Is it DJX? If it is then you can't have an 11500 call, you can have an 115 call though.

DJX options are here DJX is 1/100th of the Dow Jones Industrial Average so it's not off-scale. Which options/underlying exactly do you have?

You can find CBOE index options specs here. By the way, if you're talking about DJX then DJS is the ticker for settlement value and you can find it here: CBOE index settlement values

"...at the mercy of the market maker..."? Since when do market makers control implied volatility? Implied volatility is the result of buying and selling pressures not market makers.

I was fascinated by options in college. Initially started trading stocks, but after a year moved on to options. Now, looking to diversify into futures.

Yes.

Great book, I highly recommend it. scriabinop23, Read it, it'll answer your questions. Btw, market makers do not manipulate prices! And, yes, market makers usually hedge their deltas, however, they obviously do not hedge every trade they make. They manage their total book via greeks and...

That's my point, coach. I'm just guessing, but I'd say 15 points OTM the credit is prolly 0.05, maybe 0.10 on a 5 point vertical. So the risk is 4.90-4.95. So, with such risk:reward ratio you need to win 98% of the time or 49 out of 50 trades to just breakeven and that's not including...

Over the last 15 years, the average absolute difference between Thu's close and Fri's settlement value has been 0.46% or about 6 points with SPX at 1,300, with a standard deviation of 0.53%, which translates into a 1 standard deviation range of 1% or about 13 points. The largest difference...