Search results

That's buying a spread then and it would've worked well, obviously with hindsight it would've been better to just buy the 500 call. Still the answers apply, and I'm pretty sure you still need a margin account to buy a spread. You can't lock in profit in the US market, but if you can trade...

To sell a spread you need a margin account. If you have the margin (i.e. buying power) then there's no reason for the broker not to allow you to do it. Besides 100 contracts is hardly a large position. No, your broker will not exercise the long call for you prior to expiry unless you...

Despite the volatility ICs have worked well for me over the past 9 months. I did have 3 down months, but I'm still in the positive.

Those options are strictly OTC and interactive brokers, optionsxpress and others are exchange brokers. If you have a large enough account then you should go with UBS or some other big bank.

No, equity options don't trade in pre- or post-market.

After all of the above, you say you don't like it!?:)

If the underlying has the same multiplier then you can calculate your p/l in points first and then use the multiplier to find the actual $ p/l. So if the premium is 600 then if you bought the futures at 23800 and exercise the put your loss would 200 points (24200-23800-600). Similarly for...

Yes, if the price is above 24200 then you will get the selling price-23800-premium. If it is below then you will get 400-premium paid. You can substitute the long futures and long put with long call.

A put gives you the right to sell the underlying at the strike price. So if you buy a put with a strike price of 24200 and buy a futures contract at 23800 then exercising a put at expiration gives you a profit of 24200-23800-(premium paid for the put). However, you would only exercise the put if...

It is literally a request for quote. When you have an instrument that doesn't have any market quotes, you can request a quote for it. It's like asking for people to quote you a market on it. http://en.wikipedia.org/wiki/Request_for_Quotation

In general, you can always trade in and out, however, as the other poster noted if there's no liquidity then you might have a problem getting a fair price, but as yet another person mentioned, you can do an RFQ. Don't confuse option's style with trading an option.

If it's a mini then obviously it should have the same price since the options are quoted on a per option basis not on a per contract basis.

I haven't looked at the contract specs, but presumably the options either settle into cash (quarterly contracts) or settle into the futures contract (serial contracts). So the answer, yes, you shouldn't have any problems holding to expiry. Don't know what mhi is.

Well, yeah, if you wanna nitpick. I was making a general statement. You can always hedge with the futures if you can't close out the option.

You can roll whatever you like, any way you like, whenever you like. There's no "magic" to a roll, it's just a roll.:D

European means that it can only be exercised at expiry. You can trade in and out of it any time you like.

No, ITM options are not always exercised early. Calls are usually exercised early due to dividends, puts are exercised early due to the cost of carry. Your breakeven point is meaningful only to you and no one else, and it has no bearing on the early exercise decision because: (1) the...

I always say, if it works for you then it doesn't matter what the others have to say. You can trade off tea leaves or wind direction... Forget about explaining the method, just make the calls if you want/need to, otherwise I don't see the point of you defending your trading strategy.

OK, didn't see that, sorry.

You can always make the calls right after your fill...