All legs profitable - thanks to IV and -Theta.

Discussion in 'Options' started by JJacksET4, May 11, 2010.

  1. All legs (calls and puts, long and short, short term, long term) of this trade I did on Apr 26th were profitable as of yesterday.

    I have attached a screen shot of the positions showing the total increase (not a one day change or anything). Of course, it's not a ton on money, but it is fun to see when all 5 legs are profitable!

    The longs were helped alot by rising IV, the shorts had an IV increase as well, but were better for me (made cheaper) by theta decay.

    I kind of like positions like this when they work this way :)

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