Mav: Please define "in size."
Well, since last April we have had one long sustained bull ride. Only the paranoid survive in options so I would ask myself two questions: 1)...
Legging in = speculation IMHO. Be prepared to do it successfully 9 out of 10 times and lose it back on the 10th. I've paid some expensive...
Regarding your SPX comment: was that the 1987 crash?
As long as you brought up efficient market theory... I did my graduate work at U of Chicago and got a good dose of it. I even went to the...
Wee, I don't really disagree but would say that your emphasis underplays the fundamental insurance-like characteristic of options. We might...
Who would sell them? Not retail traders, only market makers who would set very wide b/a spreads and upon sale immediately hedge with the...
Also depends on what they're using for the risk-free interest rate.
To adapt what Churchill said about democracy: Capitalism is the worst economic system except for all the rest. The amazing thing is that over...
I'm not a raging bull, but I'll have a go at your challenge... First, an observation: the run-up in debt relative to GDP seems to have started...
I don't believe he's playing the public...that kind of stuff has a way of leaking out and he's too smart for that. You may be giving him too...
Not me. I did have a look at the site and would be VERY careful. Anyone claiming 50% annual returns doing nothing but covered calls sounds...
Building on my first post in this thread... Gallacher in The Options Edge does an empirical investigation of this issue and concludes that 30%...
Well, that's me. I need the income and can't stand a negative expectation. However, I am acronym-challenged. Riskarb: what do you mean by...
I second the motion.
My approach: 1) Only sell index premium. Market-risk (e.g., 1987, 1998, 2001) is enough to bear without piling on firm-specific risk (e.g.,...
S&P 500 index options under SPX. Nasdaq 100 index options under MNX.
Ditto.
OK...they're lying too...hasn't been true for ANY of the three SOTU speeches by GWB.
What KTM said, plus, I suggest selling fewer options than you are long. If you sell as many as you are long and the stock moves hard in the...
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