You think successful options writers have the time (or even feel the need to) brag about their winnings and steady income on ET?
NO! It means that the BSM has been designed to produce options that are priced higher than they ought to be, just like a roulette at the casino...
Seriously, are you stupid or just drunk/high (or both)? If the value of an option is not calculated correctly (due to faulty assumptions), that...
I suggest you read a few books on how to earn an income selling covered calls, you obviously do not have a clue on how the pros earn a living with...
What, you don't know that yet, Mister big shot millionaire who loves to brag and is afraid of losing his precious bitcoins? Here, learn my...
The stock drops to 70 and you collect the premium ($$). Then you find another stock with no upside potential and rinse and repeat. Simple as that.
Yes, I can see your point exactly, don't worry... And by the way I do not sell options, I swing trade the Forex.
Did I say that? Where?? Options sellers are ONLY looking for a nice steady regular income, not spectacular returns. Some of them earn a living...
Nonsense, true options sellers hedge their bets, they are not crazy. Funny, when someone talks about selling options he is automatically...
What? Hedging changes everything, you have 3 scenarios working for you PLUS a downside protection, what more do you want? Do that everyday and...
That's one way to do it. Unfortunately I've noticed that this technique, while conservative, usually produces a lot of false signals, when the...
You truly believe that option writers would settle for less than the average return of the S&P 500 (around 10% a year)?
Alright alright, if you insist, I will start my little trading Journal next week, with specific buy/sell entry price, stop and all. There, happy...
It's true, as most long options are used for downside protection, not directional moves. It's like home insurance, we lose the premium every year...
Sorry to hear that, may he rest in peace. The entertainment value of his posts was priceless, in any case. Was he really a trading genius? Did...
Savvy options writers can still collect fat premiums with volatile stocks that go nowhere after the initial up or down move. It's all about the...
No, because option writers usually hedge their bets with the underlying financial instrument. Plus they can always dump the option if the price...
When you buy a call (especially out-of-the-money calls) the stock has to make a significant move and fast (otherwise the time decay will eat you...
Your post reminds me of a certain Jack Hershey, another Elite Trader who used complicated, complex and almost impossible to understand trading...
The idea of using smaller time frames for better entries is not new. However, these small time frames will also produce many false signals as...
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