The amount of the dividend will be debited from your account. When you short shares, you borrow them from someone in order to sell them. That...
You will be required to pay out the dividend if short as of the ex-div date.
"Everyone Who Started Watching Mad Money in 2005 Now Billionaires" -- The Onion...
I will give it a shot. The long stock + long put combination is a synthetic equivalent to a long call. After the stock drops by $2, your synthetic...
Atticus has posted two very educational journals where he trades butterflies: "atticus' single-name delta book"...
Yes. As a retail investor, you will probably generally do #1 to save on commissions and fees (this avoids the stock commission and potentially an...
If you buy an option for $1, and later sell it for $2, then your profit is $2 minus $1 = $1. In the the example you gave though, the market value...
I suggest starting with McMillan's Options as a Strategic Investment. He walks in great detail through everything from "what is an option" to...
I believe that RUT and NDX are listed on multiple exchanges, whereas the others are exclusive CBOE products.
I'll play. Long NFLX calendar straddle @1.65 mid: -1 NFLX APR4 175 call -1 NFLX APR4 175 put +1 NFLX MAY1 175 call +1 NFLX MAY1 175 put
I am a fairly new trader as well, but for what it's worth I take action when the price reaches the expiration breakeven point. If my opinion on...
Congratulations--a fitting note to go out on. Thanks for letting us all follow your trades and learn from you.
Some food for thought...I think a key question to ask yourself is "Would I be comfortable instead selling GOOG puts?" If not, then this strategy...
I saw that the Kindle edition of The Option Trader's Hedge Fund: A Business Framework for Trading Equity and Index Options by Chen and Sebastian...
Cdcaveman, thank you--I wonder if my thinking has been off-base then. My impression was that--all other things being equal--a "low" volatility day...
Got it, that makes sense now, thank you.
Thank you, that is very helpful. I am struggling a bit with how to apply these principles to my trade selection but will keep studying, trading,...
Atticus, I followed you into this trade as it looked good to me, but if you or others would be willing I would like to bounce my logic off you to...
+1...I use FIOS and have been very happy with it. The internet is fast and extremely reliable. I have had it for 9 months and as far as I am aware...
I signed up for the LiveVol blog trial (http://www.livevolpro.com/help/free_trial.html) in December, got it free for two weeks, then they gave me...
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