Let us say I bought a 12 - 13 call spread on BB. At the time of the trade, BB was ~ 12.50. So I buy the 12 call and sell the 13 call, both to...
I cannot figure this out. I know how the PnL graph looks, but is the trade long volatility or short volatility. I am trying to figure out if it is...
With Blackberry (BB on TSX, not BBRY) at 12.30, I entered the 12 - 13 bull call spread, paying .86 for the long leg and getting .40 for the short...
Please consider this scenario: Stock is at 20$. I short the 20 put (1 month to go) for 0.25 , hoping for a bullish move. Stock goes up to 20.20...
Is there a way to extend the put call parity synthetic relationships to cover multiple strikes? For example, I always hear that a covered call is...
I recently legged into a USO may 22 put butterfly (+1*19 -2* 19.5 + 1* 20) Can you tell me how this position will look at expiration? Is my...
Let us say with the underlying at 100, I bought the 100 - 105 bull call spread for a debit of 3.00. Now, if underlying plummets to 90, the value...
Is there a way to find a free copy of Charles Cottle's Coula Woulda Shoulda and Position Dissection books on the internet?
Charles Cottle improves on the traditional zero cost collar like this: 1.Buy stock 2.But OTM put 3.Instead of selling an OTM call to finance the...
Why is the IV of the BBRY call options with only 2 days to go so high for ITM and OTM options? Should not less time to go imply less volatility,...
In theory, I should be able to open up a long box by selecting two strikes where the debit required is less than the difference between the...
If I buy an ATM straddle and on a daily basis, I scalp the gammas to remain delta neutral, then is it fair to say that the total max loss on the...
Are there any free websites that would send email alerts for a condition like below: Send an email when the delta of the May 29 BB (blackberry)...
Let us say I want to do volatility trading. i.e I conclude that implied volatility is cheap and will rise. So I need to set up a delta neutral...
Let us say I sell a bear call vertical spread for .20 with the strikes a 1$ apart. So max profit =. 20 and Max loss is .80 Let us say the...
I had bought the Apr May 85 strike calendar in WMT. Now with WMT down to ~ 80, the calendar has lost over a quarter of its value. Other than just...
What is a ETF that tracks the US dollar and have good options volume (at least 100 contracts in the front month options for ATM). I checked UUP,...
Is it some kind of a trading holiday for options? XIU represents the TSX 60 index which is pretty much the Canadian version of SPX. usually the...
For an option seller, hoping to collect theta decay, he is up against gamma risk. The positive theta decay can be entirely wiped out if the...
In his book 'Option Trading: The Hidden Reality', Charles Cottle seems to mean that a fence(collar) is same as a bull spread. Why is it? [ATTACH]
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