Option trade idea on YHOO

If you look at his previous posts on the forum about portfolio margin he actually mentioned that he regularly received margin calls on thursday and fridays. I was suprised by the screen shots in the past of his put sales of 100 contract lots over and over. That kind of concentration is penalized by IB with portfolio margin. It sometimes doesn't show up until the next day. I like it because when you keep selling too many puts on a single issue like even Walmart, the projected margin increase gets larger and larger and is a warning to me to just stop. Watching this makes me never want to short an individual stock, I cringe enough shorting SPY even while hedging my portfolio. I couldn't imagine being short over $800,000 of one security, who knows Microsoft could be crazy and bid again but the SPY doesn't typically crash up (fiscal cliff resolution might make it though).
 
Quote from metameta:

If you look at his previous posts on the forum about portfolio margin he actually mentioned that he regularly received margin calls on thursday and fridays. I was suprised by the screen shots in the past of his put sales of 100 contract lots over and over. That kind of concentration is penalized by IB with portfolio margin. It sometimes doesn't show up until the next day. I like it because when you keep selling too many puts on a single issue like even Walmart, the projected margin increase gets larger and larger and is a warning to me to just stop. Watching this makes me never want to short an individual stock, I cringe enough shorting SPY even while hedging my portfolio. I couldn't imagine being short over $800,000 of one security, who knows Microsoft could be crazy and bid again but the SPY doesn't typically crash up (fiscal cliff resolution might make it though).
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i have talked with this guy on this thread.... i am curious as to his wear abouts.. the grave is full of unspoken stories of leveraged short premium sellers.. i'm sure of if..
 
Quote from cdcaveman:

i have talked with this guy on this thread.... i am curious as to his wear abouts.. the grave is full of unspoken stories of leveraged short premium sellers.. i'm sure of if..
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If you want to see a lot of grave stones, count the number of credit spreaders burried there.
Most of them probably didn't even know they were on massive margin, in the area of 10 times their account value.
 
I did not even read the posts after mine. I just saw that by accident. It brought a smile to my face seeing that some people think I am wiped out by bad trades. Just today I did more than 600 contracts. If you have noticed my posts I have always said shorting is for experts (like me) and you cannot short and go. When I short, I sell lots of PUTs and generally I make money. Just check out my today's trades. Astala vista baby. The reason that I left this thread, I saw no use in telling my trades. I saw days that after my recommendations, not even one contracts were traded. I remember days that when YHOO was at $13 and I was calling it a buy and I was getting lots of responses that GOOG is the best and YHOO will go to $2 in a year and now the same people call YHOO a $200 stock !!.
YHOO will drop and will drop hard. It will drop for many reasons that I don't want to discuss. The reason is that it will not help anyone to change his mind. Yes as of today I am abandoning this thread for the reason that I mentioned.
 

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so you made money off this? love to see your pnl statement on this mess of a trade. you were short according to you, 49,000 shares at about $16.61 and it's over $19 in one month, but you sold so many more puts to more than cover the $2.40 per share lost on the shorts? if we are so wrong please show. why buy so many deep in the money calls if it's going to fall so hard?

please explain before you leave for good i'd love to see how you took in over $100,000 in put premium in less than a month to cover that.

wow.
 
fine don't explain it, i just want to confirm something. you made money on this YHOO position?, whatever you did, shorting, selling puts selling/buying calls on YHOO you actually came out ahead?

just be honest, i trade daily like you, not as much, but i've looked at this from every angle i only trade options i don't see how you came out on top here.

this forum is absolutely anonymous none of us will ever see each other just explain it like so i can understand how this particular trade worked for you.

maybe you made money elsewhere this past month (i hope you did) i just don't see it on the YHOO trade.
 
Quote from metameta:

so you made money off this? love to see your pnl statement on this mess of a trade. you were short according to you, 49,000 shares at about $16.61 and it's over $19 in one month, but you sold so many more puts to more than cover the $2.40 per share lost on the shorts? if we are so wrong please show. why buy so many deep in the money calls if it's going to fall so hard?

please explain before you leave for good i'd love to see how you took in over $100,000 in put premium in less than a month to cover that.

wow.
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I don't trade and leave. I do over 10,000 contracts a month. So just imagine trading about $500 contracts a day. Your assumption that I shorted at $16 and did nothing and came back today and I see I am making money is wrong. If you doubt, I can teach you how to trade in 3 weeks for only $20,000. You have to be with me 12 hours a day and after that you will learn how to trade. By the way if you slack one day or don't pay attention, I will fire you and take that 20K tution fee too. PM me if you are interested.
 
i trade almost exclusively options, if you can explain to me either here open on the forum or a pm i'd pay a tuition fee ($20,000 a little steep though).

but. come. on. if you shorted 49,000 shares and there is a price difference of $2.50 that has to be made up there. can you at least give me a hint, did you trade weeklies?

i don't disagree that YHOO should be headed the other direction but this trade just perplexes me. i wouldn't have been so interested but you are one of the few posters who show screen shots of your IB activity which i appreciate because you put you money where your mouth is but wow on this trade.

it's rare to find an option's day trader i usually pick a strike sell a put and wait 1-24 months and allow assignment since i only sell puts on stocks i want to own.

admire the activity though you're all over the place with today's trades.
 
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