Continous hedging as a rachet device to lock-in profits

So, there is much more to it, right?

Too bad, I like simplicity.... KISS!

 

Gamma-scalping or considering gamma in dynamic delta hedging seems to make sense only for ATM options.
...say some here: https://www.quora.com/What-is-gamma-scalping

So, it's nothing for me b/c I don't trade ATM...

 

so you write deep in the money put options and wait for the flashcrash

 

Is it a bad idea to sell calls at K=90 when S=100 ?
If at expiration S=90, would then one need to pay for the stock 90 or 110?
I think 90, but the confusion continues...

 

man man man, you don't even understand the simplest basics of options
when s = 100 and K=90 you sell deep in the money calls, when at expiration price is above 90 you will have to deliver stock, either from your inventory or your broker will give you a forced short position

 

Ok, that's also what I was thinking...
As said: I've experience with long options only.
Options selling is new for me...

From your experience: is it a bad idea to sell deep ITM options like in the above case?

 

that's why people read books ... you shouldn't trade options without having read a book or two at least minimal ... more is better ...

 

Consider the number of words you spent on this thread and the return you got for them.

 

I have the book of Hull, many papers and of course also the web.
For long options that was sufficient.
Shorting options with hedging are complicated topics.
Which book can be recommended about options selling with dynamic delta hedging and volatility trading?

 

We are slow learners but I am learning slowly.