The "haves" and the have "N.O.T.S." (Novice Options Traders)

[skanan]

Agreed. Each rolled over incur a loss but they did not advertise it.

Let's look at optionsmart QQQQ vertical spread they made on 11/30/04. Bought Jul 32 P, Sold Jul 38 P for $0.29, and after many rolls over, bought them back for $0.10 on 7/13/2005, 3.4% gain for 225 days (Rolled over on 01/21/05, 03/17/05, 05/13/05).

If you look at this on 1/22/05 one day after the first roll, they would not report a loss.

Quote from traderdon56:

What the hell are you talking about? A rollover is a loss, period. Optionsmart uses this ploy to mask the fact that they have losses. It's probably illegal, but they do it anyway.

Don-

 

[darnelds]

Those Optionsmart rascals have rolled over QQQQ April verticals in May and June.

Quote from skanan:

Agreed. Each rolled over incur a loss but they did not advertise it.

Let's look at optionsmart QQQQ vertical spread they made on 11/30/04. Bought Jul 32 P, Sold Jul 38 P for $0.29, and after many rolls over, bought them back for $0.10 on 7/13/2005, 3.4% gain for 225 days (Rolled over on 01/21/05, 03/17/05, 05/13/05).

If you look at this on 1/22/05 one day after the first roll, they would not report a loss.