gotcha - yes i do remember - i have been following your posts. maybe some day i will jump into the options pool...
Mark How are you buddy ? Good to see you posting here in ET !!! Hope everything is going well for you and your new site looks great. I meet you through woodie years ago and I would recognize those charts anywere lol
LOL, thanks Joab. And here I expected to be stomped on for posting Fibonacci, particularly with no mention of fundamentals Didn't recognize the nick, drop me a note or PM or something and let me know how you're doing if you feel like it! Things have been good here, just recovering still from the move to Florida. Thanks for letting me add my 2 cents to your thread, Mark
Right, I meant time working with you -- positive or long theta. The point I wanted to make, was that debit verticals are not always long theta, it depends on whether they are I/OTM. OTM debit verticals are short theta. It is incorrect to make the unqualified statement that long verticals are long theta.
this is semantics here -- since long options have negative theta I stand corrected. but we mean the same thing. short closer strike, long rear strike benefits from decay. long closer, short rear is hurt from decay.
Semantics? Long otm verts are -theta Long itm verts are +theta short itm verts are -theta short otm verts are +theta Assuming both strikes qualify.