The higher the implied volatility, the more premium you take in for a short spread (vertical, iron condor, etc.) and the less risk. Stocks that...
I mentioned monthly only because if the stock doesn't offer weekly, that's your only choice. For earnings announcements, I'd hedge the current...
SA articles are good for information but don't assume that the authors are qualified analysts because they write a coherent article. Anyone can...
Good judgement comes from experience. Experience comes from bad judgement. :D
Consider exploring ways to sell inflated EA premium and hedging it with cheaper later week/month options.
1) Option price for stays very close to what you paid for them during the day that you bought them if price and implied volatility do not change...
My guess is that if price moves enough, you'll have huge gains on your sarcasm straddle. ;)
I think that they misread your recommendation. Investors are saying bye, bye, bye today! :D
Perhaps the OP was trying to talk TSLA into it? :D
It's an approximation. Google for articles about it as well as POT calculators.
I think that you misunderstood what I wrote. For an ATM option, delta changes very little if other variables (other than price) change. Away from...
Call owners tend to sell before ex-div since they won't receive the dividend. If that selling drives the bid below parity, it sets up a discount...
The delta of an ATM option is barely affected by change in pricing variables. It's like a flat lining EKG. Da-dead at ~50. The delta of an...
Last trade is meaningless with deep ITM LEAPs that trade by appointment. It could have occurred hours before current price. You won't collect...
The cut off time for notification for equity options is 4:30 PM EST. I would guess that you did not notify IB before that time.
Pick up a copy of "Options as a Strategic Investment" by Lawrence G. McMillan. When you grasp what's in that, read "Option Volatility & Pricing:...
1) Yes, you could make another day trade on the second Monday but that would be the 3rd trade in the next rolling 5 day period (the first Monday...
Yes, you collect the premium but you have not earned the premium yet. If the underlying moves against you, you will LOSE money. The cash...
Let's not get technical here. :D
As others have mentioned, there is no realized profit if a position is still open. You have to buy to close the option or it has to expire for...
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