I sold 6 IWM contracts the puts for 64. it expires in September but its in the money deep. so why am I not getting my 600 shares of IWM so I can then sell covered calls for october the 64 call. so why am I not getting 600 shares put in my account already?
If you don't know the answer to this mate then you shouldn't be trading options at all! To answer your question, you only get the shares once your short put is assigned, and you haven't been assigned yet.
But if you got assigned on those puts now wont that mean you got free money? Wall street is stingy they hate giving away money for free.
And just to clarify a little further: September options don't expire on 9/1. http://www.marketwatch.com/optionscenter/calendar
If ghettotrade *sold* the put contracts (which he said he did) and they're DITM (which he said they were), when he gets assigned he will be losing a good bit of money...aka, buying the 600 shares @ $64 when they are worth less than that on the open market. However, unless the option buyer decides to exercise early, ghettotrade won't be assigned until September expiration (3rd Friday of each month - in this case, the 17th), assuming the puts are still DITM at that point.
But it is still free money. that option has 96 cents time value left Thats time value he gets to keep free and then sell a 64 call and collect a premium again earlier than if he only got assigned sunday and had to wait monday to sell time premium again. so he gets long the stock now instead of waiting and sells calls now and collect more time money. I found a post where he had a screen shot it showed he sold it for 1.79 so the option now only has 1 dollar intrinsic. so if he got put he could sell it now and still profit. I guess he wants a free lunch. Sorry, unlike the Ghetto Wallstreet doe not give out handouts and free money.