suffering from margin call constantly

Was your margin fluctuated significantly overnight?

  • Yes, always

    Votes: 3 13.6%

  • Yes, quite often

    Votes: 1 4.5%

  • Sometime

    Votes: 2 9.1%

  • Rarely

    Votes: 4 18.2%

  • Never

    Votes: 12 54.5%
  • Total voters
    22
I had my risk guy run this. Email me directly and I will provide the OCC margin , House margin and Risk requirements to see how big the account would need to be to cover this.

weij said:
Here are the positions last weekend after option expiry. the last two columns are my calculation for the 6.5% price down scenario. It is a bit complicated. A simplified version is it contains net 3k stock, -23 calls, 24 puts.

Code: 
 Financial Instrument  Holdings Orig Price Projected Price  PnL                                                 
TSLA                   3357     190.16     177.80           -41,492.52                               
TSLA  230331C00170000  43       20.85      10.61            -44,019.10                           
TSLA  230331C00177500  15       14.40      5.88             -12,789.00                           
TSLA  230331C00195000  -2       3.70       0.87             564.80                         
TSLA  230331C00197500  16       2.85       0.65             -3,528.00                         
TSLA  230331P00170000  3        0.69       2.81             636.90                         
TSLA  230331P00190000  33       5.77       13.79            26,472.60                           
TSLA  230331P00195000  5        8.54       18.07            4,768.00                         
TSLA  230331P00197500  -4       10.19      20.35            -4,062.00                           
TSLA  230406C00160000  1        31.30      20.53            -1,077.20                           
TSLA  230406C00170000  4        22.76      13.51            -3,703.20                           
TSLA  230406C00172500  -18      20.82      11.96            15,940.80                             
TSLA  230406C00175000  -72      18.95      10.53            60,688.80                             
TSLA  230406C00177500  -18      17.19      9.21             14,364.00                           
TSLA  230406C00180000  -26      15.52      8.00             19,531.20                           
TSLA  230406C00182500  -33      13.90      6.92             23,043.90                           
TSLA  230406C00195000  -4       7.36       3.08             1,711.60                         
TSLA  230406P00175000  -27      3.79       7.73             -10,613.70                           
TSLA  230406P00195000  -11      12.20      20.28            -8,889.10                             
TSLA  230406P00215000  -6       26.91      37.92            -6,606.00                           
TSLA  230414C00195000  6        9.26       4.62             -2,784.00                         
TSLA  230414C00200000  22       7.30       3.49             -8,386.40                         
TSLA  230414C00212500  43       3.815      1.674            -9,206.30                           
TSLA  230414P00170000  2        3.983      7.529            709.20                           
TSLA  230414P00180000  2        7.126      12.133           1,001.40                           
TSLA  230414P00182500  6        8.077      13.523           3,267.60                           
TSLA  230414P00192500  2        12.712     19.993           1,456.20                             
TSLA  230414P00195000  14       14.1       21.82            10,808.00                           
TSLA  230414P00197500  5        15.577     23.72            4,071.50                           
Total                                                       31,879.98
More...
 
Hi,Looked at the position for 2 nanoseconds,did not input it into TOS...

Assuming the stock stays here,your 3/31 puts (35 net)will go out worthless and you will get long an additional 4300 shares from your 3/31 170 calls and 1500 shares from your 177.5 calls.Add that to your 3300 shares,and you will have 9100 shares of common.

Looking at 4/06,you are short 166 calls,most around the 177.5 strike(avg).
Add to that you are short 27 puts at the 175 strike and 11 at the 195 strike.

If I convert the stock against calls,you are synthetically short 91 puts around 177,plus the 27 175's and the 11 195's .So you are basically short 129 4/6 177.5 puts and short 75 177.5 calls..

Th following week 4/14,you are long 71 upside calls,most of them split up between the 200 strike and the 212.5. So your upside pain is limited as you are almost in a 1 for 1 Diag call spread...

The problem is you only have 31 4/14 puts protecting the downside if Musk keels over..You will be short 129 4/6 puts if you do nothing,so essentially you are short close to 100 puts..Naked..Nude....

Yes,your sweet spot is lower,around 177.5,but IB will shut your ass down WAY before that...TOS simulates a 50% adverse move,and if you do not roll by tomorrow,you are begging for a spanking..

Like I said,this was done on paper in 2 minutes,so I could be off..





weij said:
Here are the positions last weekend after option expiry. the last two columns are my calculation for the 6.5% price down scenario. It is a bit complicated. A simplified version is it contains net 3k stock, -23 calls, 24 puts.

Code: 
 Financial Instrument  Holdings Orig Price Projected Price  PnL                                                
TSLA                   3357     190.16     177.80           -41,492.52                              
TSLA  230331C00170000  43       20.85      10.61            -44,019.10                          
TSLA  230331C00177500  15       14.40      5.88             -12,789.00                          
TSLA  230331C00195000  -2       3.70       0.87             564.80                        
TSLA  230331C00197500  16       2.85       0.65             -3,528.00                        
TSLA  230331P00170000  3        0.69       2.81             636.90                        
TSLA  230331P00190000  33       5.77       13.79            26,472.60                          
TSLA  230331P00195000  5        8.54       18.07            4,768.00                        
TSLA  230331P00197500  -4       10.19      20.35            -4,062.00                          
TSLA  230406C00160000  1        31.30      20.53            -1,077.20                          
TSLA  230406C00170000  4        22.76      13.51            -3,703.20                          
TSLA  230406C00172500  -18      20.82      11.96            15,940.80                            
TSLA  230406C00175000  -72      18.95      10.53            60,688.80                            
TSLA  230406C00177500  -18      17.19      9.21             14,364.00                          
TSLA  230406C00180000  -26      15.52      8.00             19,531.20                          
TSLA  230406C00182500  -33      13.90      6.92             23,043.90                          
TSLA  230406C00195000  -4       7.36       3.08             1,711.60                        
TSLA  230406P00175000  -27      3.79       7.73             -10,613.70                          
TSLA  230406P00195000  -11      12.20      20.28            -8,889.10                            
TSLA  230406P00215000  -6       26.91      37.92            -6,606.00                          
TSLA  230414C00195000  6        9.26       4.62             -2,784.00                        
TSLA  230414C00200000  22       7.30       3.49             -8,386.40                        
TSLA  230414C00212500  43       3.815      1.674            -9,206.30                          
TSLA  230414P00170000  2        3.983      7.529            709.20                          
TSLA  230414P00180000  2        7.126      12.133           1,001.40                          
TSLA  230414P00182500  6        8.077      13.523           3,267.60                          
TSLA  230414P00192500  2        12.712     19.993           1,456.20                            
TSLA  230414P00195000  14       14.1       21.82            10,808.00                          
TSLA  230414P00197500  5        15.577     23.72            4,071.50                          
Total                                                       31,879.98
More...
 
Last edited:
taowave said:
Hi,Looked at the position for 2 nanoseconds,did not input it into TOS...

Assuming the stock stays here,your 3/31 puts (35 net)will go out worthless and you will get long an additional 4300 shares from your 3/31 170 calls and 1500 shares from your 177.5 calls.Add that to your 3300 shares,and you will have 9100 shares of common.

Looking at 4/06,you are short 166 calls,most around the 177.5 strike(avg).
Add to that you are short 27 puts at the 175 strike and 11 at the 195 strike.

If I convert the stock against calls,you are synthetically short 91 puts around 177,plus the 27 175's and the 11 195's .So you are basically short 129 4/6 177.5 puts and short 75 177.5 calls..

Th following week 4/14,you are long 71 upside calls,most of them split up between the 200 strike and the 212.5. So your upside pain is limited as you are almost in a 1 for 1 Diag call spread...

The problem is you only have 31 4/14 puts protecting the downside if Musk keels over..You will be short 129 4/6 puts if you do nothing,so essentially you are short close to 100 puts..Naked..Nude....

Yes,your sweet spot is lower,around 177.5,but IB will shut your ass down WAY before that...TOS simulates a 50% adverse move,and if you do not roll by tomorrow,you are begging for a spanking..

Like I said,this was done on paper in 2 minutes,so I could be off..
More...

No, you can't assume that. You can't use days after 3/31 to justify the order rejection on 3/24.
 
Not surprised you're having issues with that options mix. You're looking at net but the margining system marks are noisy so you need to consider there's a gross component at times as well when the calculation is skewed. I don't understand the mechanics of why but IBKR has always been like this in my experience.

Select small brokers might would work with you and they don't do auto liquidation. They're more expensive with higher comm and/or platform fees though so it's not obviously a better choice.
 
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