Search results

There's a credit against cancel fees for contracts traded. You'd have to check their web site for the formulas.

B/A slippage is difference b/t bid and ask. IB is 70 cts per contract (25-50 cts if option less than 10 cts) with free assignment and exercise.

I think that the bigger problem with rolling is the B/A slippage. I'm not worried about donating 70 cts to my broker :)

Well, gee, like, I mean that like dividends are FREE money, ya know ??? (vacant Valley Girl-like stare) (as long as you don't count the loss on the stock from going ex-div)

Yehhh, finding the right trade after the fact is pretty damn easy... Going into earnings, what would make you think that buying a straddle on a $29 stock would be a good hedge for a naked straddle on a $127 stock and therefore a good pair?

Does like mean tha you think it's going up? If so, what does hard to borrow have to do with it?

I don't think he's touting the position because of the tax treatment. However, I whole heartedly agree that CC's and NP's have a lousy risk/reward ratio and one had better be good directionally if one is going to bite into that.

If that's the case then selling the puts isn't the brightest thing to do. One should do all CC's and gain favorable tax tretment on the entire position. I'd expect his response to that to be along the lines of "If one doesn't have the capital to purchase 2,000 shares then the puts enable...

If I did that, would I be soft hearted ???

You'd think that if an author is reaching for an audience more sophisticated than a pumpkin (discussing naked puts), he'd have a clue about the synthetics. Other than that, his numbers add up.

There are many things you can do. There's no right or wrong answer, just what keeps you afloat. And there's no cookie cutter correct answer because we each have different risk tolerances and what adjustments are viable can depend on where and when the drop occurs: - how much premium decay...

Ahhh, I get it now :) I am (was) in medical but I don't live down the road from UC. So now all I have is bad chess pains (cough cough)

Will you be able to wait until February expiration and close out at a profit if the market keeps dropping?

OP, rather than add verticals, you can roll the verticals and that will not add add'l risk, so to speak. For example (made up numbers), suppose your index short strikes are 50 pts OTM and the UL rises 20 pts. Now you're at 70 30. If you roll the put spread up 20 pts, you book a profit and...

Yes and no. If you're utilizing directional strategies then you have to get the underlying right. But many have no clue about the underlying and successfully implement non directional strategies (iron condors) and manage them accordingly.

When you make money doing that, it's viable. When you don't, it's not.

You already know it but you don't take your eyes off the screen with earnings announcements. If you really can't say no, get some headphones and learn how to have connectivity problems, when needed :)

USCF - as I wrote. Clio, Erato, Euterpe and the other gals have great digs a bit up the hill. Bingo! One Kewpie doll for Premium.

Yep but if you can crack the 25g level, you get 4:1 leverage intraday (pattern day trader) and you can turn your money over as often as you like.

--------------------------------------------------------------------- Quote from NoDoji: ... When I first started day trading in summer 2008 I dropped in on a trading chat room and found a guy making live calls all day and making money hand over fist...