Stupid idea. If the underlining moves in your direction your order goes unfilled and you lose out on potential gains. For the order to be filled the underlining first has to move against you.
This comment has some truth and is vital to understanding liquidity and game of options. (I presume he has not read the next sentence.) Perhaps a market order is a stupid idea also. And maybe he filled the same day on the same option at a better price? Or maybe he is the one who paid me that day? Only the shadow knows ..... heh heh heh
Mkt orders on entry are suboptimal. Marketable limit orders are better if you're satisfied lifting the offer.
You're not forced to enter a position. It's never best-practice to trade a market order to establish a position. The offer can (and often, will) disappear leaving you with a fill outside the former NBBO. You'd know this if you ever traded more than a one-lot SPY call.
Why not? I would rather have a market order filled than a limit order unfilled. Market orders can (and often, are) filled at a better price than the bid/ask. Same thing with limit orders, I have had those filled at a better price also. There is no advantage with limit orders over market orders, problem with limit orders though is they might go unfilled.
Yes, asswipe, and so are mktable limit orders. The point is that you don't leave yourself open to an unknowable fill outside of NBBO. I have seen a mktable limit order not fill and the offer vanish. Countless times. An example. I know a guy who worked at a large HF who placed a large USO order at mkt and the offer on a complex (1000up) went bye bye before the fill. He got filled at 0.20 higher on thousands of contracts. Lost the firm six figures and was fired for his stupidity. Your one lot SPY call will cost you the price of a WSJ at worst.
Yes. That is why I use them at times depending on market conditions and what I am trading for on a given day. LOL - I just want to ensure I am over the pot first!