TOS TD Ameritrade - Portfolio Margin Test Review

[guru]

Guru,you using AAPL as an example for the specified diagnol,but you are not using 100 as the spot price. You are using 126,of course the Vega changed and went negative... which is I specifically said foward ATM...Think bro..

You need to simulate the spread at different dates keeping spot at 100 and assume the Dec exp is shorter dated...

That's the only hiccup,and why I brought up large discrepancies for DTE and ATM foward..Not sure you are getting it

Read the question..Spot is at 100,long put is ATM (100 strike),short put is 110 strike,assume expiring 1 month earlier..

Thanks, finally you've decided to look at the question!
And you're right, I didn't use the 100 spot, so I'm the one who wouldn't pass such interview question. I could still argue about the dates, but at this point I'd have to agree the answer is long delta and long vega.
At least the OP may now get the right answer. Wouldn't happen without people actually looking at or discussing the question.
(CZR would be a good stock to test this with)

 

[taowave]

You are very persuasive

Thanks, finally you've decided to look at the question!
And you're right, I didn't use the 100 spot, so I'm the one who wouldn't pass such interview question. I could still argue about the dates, but at this point I'd have to agree the answer is long delta and long vega.
At least the OP may now get the right answer. Wouldn't happen without people actually looking at or discussing the question.
(CZR would be a good stock to test this with)

 

[mozung]

I submitted the test and passed it! I enjoyed the test, it helped me gain knowledge and purpose of having PM account (hedging). I only had problem with time constraint of the test, Had I knew I were be able to save the test to stop the time, I would have passed it in first attempt. In first attempt, I got panic like a trader in short squeeze. lol
You guys are great, I truly appreciate all that help. cheers!

 

[Chicubs]

I am in the same boat. This is my third and final try and I have to get 80% right or I’ll have to wait for 6 months. I’ve attached my answers. What do you guys think? Any help would be greatly appreciated!