Lets say you make $2k with 2k shares on a stock trading it one day but you know it will continue going up.
Then you take then $2k and buy as many long term options with the $2k profits to alleviate capital hold up.
Who does this.
Repeat rinse.
Until you have an army of free ride options.
Then you take then $2k and buy as many long term options with the $2k profits to alleviate capital hold up.
Who does this.
Repeat rinse.
Until you have an army of free ride options.