I actually made a small spreadsheet where I punch in the values for the stock, call, and put bid/ask, dividends, and days to expiration, and...
the OCC distributes assignments to brokerages randomly, then the brokerages have their own method (which must be approved by the OCC) for...
not to mention that the component might have a higher or lower volatility then the overall index. You could have a stock that even with a...
If you buy stock, then short call and long a put at the same strike, that's a Conversion, and all you're doing is synthesizing interest (but less...
Ah, nice, the EFP lets you buy stock/sell SSF or short stock/buy SSF in one single atomic transaction. As for which stock is best, dividends...
Ok, well when Iran manages to force the Nymex to quote light sweet crude in euros or some other currency in lieu of dollars, they succeed.....
To the person saying 1 cancel makes the $1.75 commish worth it, that depends, are you doing 1 contract a trade? The $1.75 is PER CONTRACT...
synthetic interest: Buy stock, sell SSFs on it.
Ouch.. 99% gap-down.. That's pretty rare though, to have a stock halted mid-day then lose all it's value when it re-opens, so usually that...
Someone mentioned to me that they thought PPL was a possible takeover target, and just yesterday I found some data that makes it a strong...
First off, on a 4 leg trade like this, you never buy at the ask and sell at the bid, you'll just kill yourself on the spreads there. You need...
Yeah.. quitting your job to trade 150K left in a retirement account (probably 100K after taxes/penalties), is at minimum a huge gamble.
If you want ZERO RISK. Go to www.treasurydirect.gov open an account there, you can set up a schedule to auto-buy 4 week t-bills every 4...
the fed is NOT going to lower rates by 125 basis points! it would take them at least a year to lower rates by that much.. at LEAST!
Any HONEST prop shop wouldn't lie if you asked them if they took losses from traders. They might not tell you the $ amount since that's their...
OH, the other problem w/ being assigned early, is you may miss a dividend. Example: Stock is at 100, you do your 100/105 spread (long 100,...
costs for commissions, and costs for leverage should be 2 seperate things. most firms already charge you interest for overnight borrowing, as...
I'm interested in options, I don't see any real money being made with intra-day equity trading. Back when the spreads were 1/4 of a point, there...
That's very true, but remember, for most brokers - Margin on a spread is the amount between the spread (in this case, $500 / contract) -...
General rule of thumb. Anytime you're using a DEBIT SPREAD, your max gain should be at least 3X your max risk (max risk being the debit you put...
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