Losing money on puts when stock goes down
- Thread starter Jakelieberman90
- Start date
OP - with respect, when asking a question, you need to be be more clear and specific. For example, when does your option expire? I assume you bought a put option, as opposed to sold one? What was the rough value of the VIX at the time?
If you bought a put on Friday, and it is losing value it is probably due to :
1) fall in volatility from the point you bought it and now
2) loss of time value.
3) Wide bid-ask spreads giving a un-realistic profit/loss figure.
(PS - ignore the nonsense written by Gaussian.)
agreed.
- Moderate bid-ask spread
- Historically high IV
- Time Decay
Never thought i'd see the day where Rho affected premiums lol
And for the OP, can you supply us with the exact option you bought?
calm down bro @gaussian drops way more knowledge with 1.3k posts than your 13k posts lol
"You are trying to show expertise by throwing in a few greeks"
lmao dude who even thinks like this? Please show some decency
and lets discuss options without the shallow insults?
Cheers!
I made a comment about one Gaussian post. It was a worthless response to the OP, who is beginner in trading options. Try to focus. My comment on one post stands as written.
That one post thagt is worthless to you could be the post that sparked something in another user who's just starting out (like the OP).
Regardless, theres no point for insults, unless you want beef? lol
