ATM options for premium decay

Discussion in 'Options' started by Trading Education Buyer, Dec 18, 2016.

  1. ironchef

    ironchef

    Don't they just balance out so that the long term outcome of selling puts is equal to (or almost equal to, if you look at CBOE PUT index) the returns you get for holding the underlying? So, perhaps people who sell puts thinking it is free money is actually not free money?

    Regards.
     
    #21     Dec 19, 2016
  2. chartman

    chartman

     
    #22     Dec 24, 2016
  3. chartman

    chartman

    Tax considerations are the most important aspect of trading the last week of the calendar year. All professional traders/marketmakers are preparing to mark their trading inventory to the market.
     
    #23     Dec 24, 2016
  4. selling the 120+ day strange is the best way to make $. It requires very little analysis or predictions . roll and cover after a month, repeat
     
    #24     Dec 25, 2016