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Geeez, this sure is a tough crowd. Sooooo, is anyone interested in the 8 figure hedge fund that I run ??? :p :D

10,000 contracts is break point at Interactive Brokers so more than that a month will drop your cost per contract from 70 to 50 cts for contracts >= 5 cts and down to 25 cts for those < 5 cts. It doesn't beat the first two but gets you in the ball park. You might also factor in free...

My recollection is that the initial margin requirement for a conversion is 50% of the stock's cost + the cost of the put option and no requirement on the short call. Google "CBOE Margin Manual" for exact details. Brokers have the right to require more margin than Reg T. As for your...

Don't confuse brains with a bull market. For the most part, bull put spreads work quite nicely these days. In a correction or down market, you're going to eat a lot of short puts. I'd suggest that you focus more on selling bull put spreads on stocks that you are bullish on as well as...

No. The greatest amount of time premium is ATM so 2 ATMs will cost more extrinsic. Also no on the 'decent move'. Consider an ATM equidistant Butterfly (XYZ = $100 and $98/100/102 call butterfly). The net delta won't be far from zero and outside of the wings, the 2 long options offset the...

If you think that the financial sector is going up and you want a broad based ETF, buy it.

Unless your broker has a special deal on assignment and exercise (for example, free at IBKR), you have should have two transactions to close. Exercise of your long 170 call results in buying 100 shares and assignment of the two short 172.5 calls results in the sale of 200 shares. IMO...

Then you should arb the trade! ;)

Pick up a copy of "Options as a Strategic Investment" by Lawrence G. McMillan. Read it. Then read it again. Once you have a firm grasp of its content, you'll be able to discern if other books and resources will be beneficial. If you're an Average Joe trader, it will be more than enough.

Look at the silver lining. If the stock goes down then you will lose a lot less on one of the calls :( Take Tom McGinnis' advice. Also, buy a good option book and spend a summer (or more) with it,

Yes, you cannot learn trading from a book. Having a chat session and going over "positions, trade set-ups, adjustments and such. going over option chains and discussing them" will not teach you trading either. Both give you a good understanding of the fundamentals. Nothing, and I repeat...

I bet that if you bought a few of the top option books and spent a year reading them and then took their ~ $6,500 tuition and traded it, you'd learn more from that than from a course designed to separate you from your money. If one doesn't have the drive and discipline to put in the year...

Read what's relevant to your interests and current level of trading. Read about more complex strategies if they appear on your radar screen.

My first choice would be "Options as a Strategic Investment" by Lawrence McMillan will give you a fundamental understanding of many option strategies and concepts. "Option Volatility And Pricing Strategies" by Sheldon Natenberg is more technical but AFAIC, is geared more for advanced retail or...

I get the idiosyncracies of Human Nature mentioned in this thread. I was in a similar position in 2008-2009, the one time that I had a real edge (or was just lucky enough to be in the right place at the right time). I offered the details to a long time trader friend and she countered with all...

Are you talking about his account size or sumthin more anatomical ??? :wtf:

OK, the ongoing saga of hedging non correlated assets. I apologize for the length but I'm looking for HELPPPP !!! :->) In 2009, I took some of my trading profits and bought a variable annuity for the purpose of guaranteed income for life once I reached 65. It has nearly doubled in value in...

Since you stated that you have not been trading since you have been focusing on your career, what does the P&L chart represent. Is that the hypothetical results of the system that you developed? Props to you for posting posting your trades going forward. Not many here offer disclosure.

I'm at a bit of a loss at what you're after. Whatever performance calculations you want to track should be included in your spreadsheet. If you want, notate why you bought/sold a position or considered doing so but did not. If you are just trading long puts and calls, I don't see why an...

Are you saying that he's no longer the Karate Kid of Elite trading???