Huh? Don
LMAO Don
I'd be surprised if the cost of carry is the reason for the subject IV discrepancy. Are you sure that McMillan says that? The cost of carry is...
I went back a couple of notes and now see what you are saying. Yes you can get a 6.88% annualized return on your collar, but only if WLP is higher...
Relative to your 1st play with the 6.88% return, what strike price did you use and what is the expiration date? My guess is that you might be...
The OIC simulator is probably an accurate tool so my guess is that you doing something wrong. Are you sure you are using the correct IV figures?...
Why do you think a different simulator is needed for the QQQQ or indicies in-general? I would think any american style option including the QQQQ...
Is the market closed on Monday? I thought it was only closed on Tuesday? Don
Pub 550 should be the bible and I think it says "no" LT cap gains for short options. However, if the stock is assigned and held for a year...
Although I don't trade futures I am under the impression that some brokers don't require a special account to trade futures. If that is true, than...
Do you mean that none got assigned at expiration? That would be pretty unusual. Don
No real conflict. Your "trading plan" could include fiddling depending on your new view. Many times my initial plan is to adjust depending on...
Nice chart and a good practical scenario. However the following is equivalent and probably more clearly depicts what is happening. Note I think...
As long as you have the cash being assigned is no big deal. Of course, that cash is no longer earning the interest your broker pays so be sure to...
The further ITM your Put the more downside protection it provides for your shares. So a 360 Put provides less protection than a 380 Put....
Sorry, I found the problem. The contract I happened to choose was at expiration. Hence no time value and Delta would be one since it was slightly...
I have a homegrown Excel spreadsheet that uses the B-S formula. When I use the Excel Normsdist function to calculate Delta it doesn't seem to...
Ya'know there is an argument that says people who buy any stock are crazy. After all why buy something that has no practical value? Oh yeah,...
Actually there is a pretty good fundamental reason to say that options are more risky than stocks or futures. That is options are a zero sum game,...
I don't think anyone has a good answer for you. You have already mentioned some alternatives (multiple brokers, etc) and the associated drawbacks....
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