In my opinion "systematically writing", as well as any other fixed time periodical trading, presses you to probably enter at the wrong time. I believe that selling time this way is not successful in long run (negative expectancy). Options are better played directionally and / or on their IV.
Vertical Spreads for Aggressive Growth
- Thread starter Cache Landing
- Start date
cnms2,
I know what you mean. There are piles of materials, books and other resources stating that. I experienced that on my own back, wasting a lot of time.
As about IV, agreed in some sense - but using them directionally is like using your PC for watching nice pictures only. It works, but you don`t take remaining 80% of their advantage.
This is why I prefer the shorter term trades. I feel I can be more accurate this way when it comes to directional forecasting. This is also why I generally don't open both legs of an IC at the same time (negative expectancy). I prefer to time my entry into one leg and rely on my ability to foreast direction to leg into it on the other side. This of course all changes if I have a certain expectation regarding IV changes.
I'll tell you what. I can't get filled to save my life today.
I was very comfortable with the dip around 3:00. I was even giving up 0.15 but still no takers.
I was very comfortable with the dip around 3:00. I was even giving up 0.15 but still no takers.Today's Action
BTC 4 DELL APR 30p @ 0.40
Year to Date P/L
Account Value: $10,884.50
YTD Gross P/L: 1,030.00
YTD Commiss: 145.50
YTD Net P/L: 884.50
YTD % P/L: 8.8%
Couldn't get filled on the SPX spread, so we'll see what happens tomorrow.
BTC 4 DELL APR 30p @ 0.40
Year to Date P/L
Account Value: $10,884.50
YTD Gross P/L: 1,030.00
YTD Commiss: 145.50
YTD Net P/L: 884.50
YTD % P/L: 8.8%
Couldn't get filled on the SPX spread, so we'll see what happens tomorrow.
Got filled on a DNA APR bull call this morning and a long BAC MAY put. I'm 0.15 under mid on SPX calls right now and can't get filled. If I'm gonna have to give up this much I might just have to jump over to SPY or XSP instead.
Quote from Cache Landing:
Today's Action
BTC 4 DELL APR 30p @ 0.40
Year to Date P/L
nice pnl cache...I was there in late Janstill there
Quote from DonnaV:
Quote from Cache Landing:
Today's Action
BTC 4 DELL APR 30p @ 0.40
Year to Date P/L
nice pnl cache...I was there in late Jan
I'm not bearish on DELL. I was actually quite bullish on them, but the vertical that I had on was slightly ITM when I opened it. The plan was to get most of the profit from the move and exit so that I didn't give it a chance to pull back before expiry. I'm still bullish on them but the short strike was too close to hold for a month with not much profit left to juice out of it. The long puts that I still hold were close to valueless, so I'll hold them just in case there is a big drop in the underlying.
Today's Action
BTO 2 DNA APR 75/80c @ 4.25
BTO 2 BAC MAY 50p @ 3.20
Year to Date P/L
Account Value: $10,875.50
YTD Gross P/L: 1,030.00
YTD Commiss: 154.50
YTD Net P/L: 875.50
YTD % P/L: 8.8%
For those who are wondering why I opted for the debit spread on DNA. There was 0.10 difference in the synthetic mid, so I went with the higher of the two and got filled.
BTO 2 DNA APR 75/80c @ 4.25
BTO 2 BAC MAY 50p @ 3.20
Year to Date P/L
Account Value: $10,875.50
YTD Gross P/L: 1,030.00
YTD Commiss: 154.50
YTD Net P/L: 875.50
YTD % P/L: 8.8%
For those who are wondering why I opted for the debit spread on DNA. There was 0.10 difference in the synthetic mid, so I went with the higher of the two and got filled.
sorry I didn't check to see you had a vertical on them...thx