I need help managing a bull put; I did not fully understand the trade.

Discussion in 'Options' started by klattermusen, Nov 18, 2022.

  1. newwurldmn

    newwurldmn

    I bet talking to my 5 year old about options would be less frustrating and that would be after I abruptly turn off the tv show she was enjoying so much.

     
    #81     Nov 20, 2022
    FibonacciNinja likes this.
  2. taowave

    taowave

    GRASSHOPPER,

    Cesfx gave you a very strong hint to what I meant " buyer of the calendar"..

    Look at what you are suggesting,but simplify it..

    You are welcome

     
    #82     Nov 20, 2022
  3. destriero

    destriero

    Who keeps deleting @TheDawn’s posts? She mentioned neww and myself but it has since been deleted.
     
    #83     Nov 20, 2022
  4. TheDawn

    TheDawn

    Ok so now you are doing the same shit as your idol You Know Who (since my last post mentioning his name got deleted by the mods - I guess you are not the only one who puts people on a hierarchy LOL), fancying up terms unnecessarily without explaining just to show an air of superiority. What's this "buyer of the calendar" in terms of options trading? You mean buying a protective put with the next or later expiration date for the underlying if the OP gets assigned? If that's what you mean, yes you would be correct. That is what I am suggesting with also the possibility of selling the long put leg if he can to maximize profit. If you believe options trading is all about maximizing the spread, then every single penny counts.

    You got the gist of it except I didn't specify that he can only buy the longer-term put after he sells the long put leg.

    Congratulations!! You can read like the rest of us!!

    That is a shame. I guess this is where we agree to disagree.
     
    #84     Nov 20, 2022
  5. Overnight

    Overnight

    You guys must be connected...

     
    #85     Nov 20, 2022
  6. spy

    spy

    Would you believe I more interested in watching PBR this week than I am my own trading portfolio?
     
    #86     Nov 20, 2022
    cesfx and taowave like this.
  7. taowave

    taowave

    Its the first thing I am trading on Monday...I won't be selling put spreads :)

     
    #87     Nov 20, 2022
  8. spy

    spy

    FWIW... it's in the bottom 5% of my list this week. We'll see :rolleyes:

     
    #88     Nov 20, 2022
  9. spy

    spy

    Those long puts look pretty useful now, don't they?
     
    #89     Nov 22, 2022
    cesfx and taowave like this.
  10. TheDawn

    TheDawn

    Yes that's why the OP has already "bought the calendar" I am sure (if OP is assigned and is intending to keep the underlying) and is contemplating selling the "front" one. Looks like it's going to fill the gap tomorrow. This stock always bounces back after ex-div., usually right away too except on one occasion where it took a few days to do but eventually it still did.
     
    Last edited: Nov 22, 2022
    #90     Nov 22, 2022