Search results

Thanks ExchangeRider and qqqoptions. FYI: the ThinkorSwim chat rooms blow this site away for useful responses.

http://www.youtube.com/watch?v=O1etXvU-5gk&list=UUXx4UxmEFWtaFYBNict0j3w&index=3&feature=plcp http://www.youtube.com/watch?v=PERXc1Pa1wk&list=UUXx4UxmEFWtaFYBNict0j3w&index=1&feature=plcp http://www.youtube.com/watch?v=SqlbPaeIZ6s&list=UUXx4UxmEFWtaFYBNict0j3w&index=2&feature=plcp

I went back and found the video. I followed the author's link to more videos and he showed one in practice. He started with a single calendar and then later made an adjustment turning it into a double calendar. When he was made the adjustment he checked the prices of both the PUT and CALL...

There are some videos on YouTube where the guy uses nothing but CALL spreads for his double calendars. Why would he just use CALL spreads?

If someone exercises a PUT they get money, if someone exercises a CALL they get shares. Sometimes an investor may be in need of cash so they erecise there PUTs. At least that's what I read once.

I have an educational video on Double Calendar Spreads that starts the position with a PUT spread below the money and a CALL spread above the money. 1. Is it true that the PUT calendar spread and CALL calendar spread has the same risk/reward cruve. Even if they are above the money or below the...

HA that's funnyl. Actually I'm convinced that I'm not very interested in the trade that I started this thread with anymore. I think I will use strangles around earnings. But I am also learning as much as I can.

I thought that you could avoid a total loss in most positions if you see that the market moves against the position (or not enough in this case) that it can be closed for less than the total loss if done so before expiration. Do you agree?

I'm not focused on one specific strategy but this thread is. Why would jump to the conclussion that this strategy is all I do or study?

Somepepole are getting very specific about the names, there are articles on seekingalpha.com and theoptionsguide.com that call these trades Reverse Iron Condors and Reverse Iron Butterflies. If you don't like the names then take it up with them. All I care about is making money with them on a...

I'm looking into this as well(but I was looking at it as an earnings play). I'm going to do more back trades but right now I have found that stangels do better, much better, at least as an earnings play.(I see though that you're looked to do this as a long term trade not as a quick earnings...

Because I don't know, I went to theoptionsguide.com and it describes what I was thinking about doing as a Reverse Iron Butterfly. But really, I don't. I'm learning. Like I just learned to go to ThinkorSwim and backtest each trade and see that Straddles and Strangles do much better than...

If you sell regular Iron Condors for a 10% gain it would only take 1 loser to equal 9 winners but in practice you shouldn't let it expire with a total loss. You can usually get out of losers with only a 20%-30% loss. I wonder if the Reverse Iron Butterfly would be simialr if you bailed-out of a...

If it didn't move right after earnings into a profitable range I would close the entire position and take the loss. I would lose a few days of Theta and possibly a lot of Vega if IV drops, but both of those risks are the same risks that Straddles and Strangles face as well. I would definitely...

OK I see that now. It is a Reverse Iron Butterfly when the options that are bought are both ATM instead of a Reverse Iron Condor. Am I right about that? So (9 pages later) does anyone ever use Reverse Iron Butterflies?

I was wondering if anyone here had used a RIC around earnings because it can make money if the underlying moves enough. It appears to me that it is safer because it doesn't have to move as much as the other earnings play at the cost of having a lower return. It also appears that you may have to...

Then something must be wrong with the profit-loss graph displayed by TOS for this trade which has happened to me before due to operator error; but it shows a profit on this trade at expiration if the underlying moves above or below the options that were sold. Until I find something wrong with...

Is Convexity the same thing as Gamma?

NYC you're so crazy, an anaconda looks great as a neck tie. Have you tried that?

On the RIC, if the underlying moves up or down more than $5(or one strike) at closing it will make money, end of story. At that point, IV contraction doesn't matter, Convexity doesn't matter.