You are absolutely right. Average winner: 8.7% Average loser: -10.2% Biggest loser: -28.7%. Only 3 trades lost more than 10%.
IV ramp help you to fight the negative theta. There are three possible scenarios: Scenario 1: The IV increase is not enough to offset the...
You confused 2 strategies here. My comment was regarding selling options before earnings and holding through earnings. This strategy works well...
Reel Ken said it well: We load a six-shooter gun with one deadly round and play Russian Roulette for $100 per trigger squeeze. The odds are 83%...
Strangle is general would be more aggressive strategy. Higher risk higher reward, especially if you go with strikes far OTM. You would need the...
Normally SPY options are treated as short term gains (vs. SPX that gets special treatment), but LEAPS can be treated as long term gains if you...
I agree. And personally I would never place market orders. But sometimes you need to get out of position quickly, and this is when market orders...
Few comments: Liquidity: SPY has very "tight" bid/ask spreads. This helps planning because one has a pretty could idea of the execution price....
There are few parameters to this strategy, and I'm not sure what was the intention in the original email. First question: is your intention to...
I usually don't trade close to expiration, but it could be a valid concern.
The simple truth is that each stock is different. Many stocks are suitable for straddles, but you really need to do your homework to know which...
sub-optimal exercise - you mean someone exercising his calls with more time value than the dividend? This definitely can happen, but it doesn't...
My point was that if you are using fly with all puts, you don't have an assignment risk for dividend paying stocks.
This discussion reminds me a discussion I once had with someone who tried to prove that credit spreads are better than debit spreads because you...
The fact that the markets are rigged and manipulated is not new. The question is what you do with it? Are you blaming the markets for your...
As mentioned in the article: According to The Chicago Board Options Exchange (CBOE) here are the facts: Approximately 10% of options are...
Here is the 80% myth debunked: Do 80% Of Options Expire Worthless?
Our largest loss in 2018 was 11%. In 2017 we had two losses in 20-25% range, the rest were single digit losers. This strategy has very low risk....
TSLA is actually one of the stocks that provides pretty consistent gains for options sellers. But it doesn't mean that from time to time it cannot...
Personally I definitely don't hate him. I think he's a rare bird and world needs visionaries like him. I just don't like the way he treats TSLA...
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