do these people come looking for you or nah you go looking for them?
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Why american deep ITM call has time value?
- Thread starter maxima120
- Start date
do these people come looking for you or nah you go looking for them?
do these people come looking for you or nah you go looking for them?
Another thread. He was calling a MMer on here "inexperienced" and then he (Stardust) went on to ask about frequency of delta hedging (hourly?). wtf.
Yes, and there goes your parity...It holds. If one doesn't earn a favorable enough interest rate on the short stock then you early exercise.
The fact that put/call parity for American options is formulated as an inequality, rather than an equality, is very well known.
Yes, and there goes your parity...
The fact that put/call parity for American options is formulated as an inequality, rather than an equality, is very well known.
And it's an easy out for the holder for the reversal and massively beyond the scope of a thread that asks about how they're related (put and call at strike). It's a rates trade and all trades involve risk. The primary application of the trade (rates bet) tells us so (parity violation).
I don't recall seeing any such questions, sorry... I have no idea what edge there might be in something like this.An answer to one of the questions I asked in the past finally appears in this thread. So they did know the answers, but didn't answer it. Probably I wasn't clear enough in my question. (I guess I should have asked Martinghoul.)
Without giving away too much, IMO in this statement, there is an edge - in practice and in theory are quite different. Liquidity providers must choose one side.
I didn't mean to derail, sorry...And it's an easy out for the holder for the reversal and massively beyond the scope of a thread that asks about how they're related (put and call at strike). It's a rates trade and all trades involve risk. The application of the trade tells us so (parity violation).
I don't recall seeing any such questions, sorry... I have no idea what edge there might be in something like this.
I didn't mean to derail, sorry...
No, I am glad you brought it up.
omg please. You asked someone on here if they delta-hedge on hourly daily or weekly. "Liquidity providers much choose one side" Nothing to do with edge. Nothing.
go away with this gibberish.
Remember when he advised sle to not trade options because he might hurt himself?
Remember when he advised sle to not trade options because he might hurt himself?
lol no, plz, plz link me.