Long Put deep ITM at expiration

Discussion in 'Options' started by earth_imperator, Sep 14, 2022.

  1. zghorner

    zghorner

    Oooooooo yea that's fucky lol.
     
    #21     Sep 14, 2022
  2. Overnight

    Overnight

    See, even experienced options traders don't know WTF. Gosh you guys are just NUTS!

    There's a video for that, God dammnit!




    Zzzzzttt!
     
    #22     Sep 14, 2022
  3. Overnight

    Overnight

    This thread needs a @destriero treatment to make sense of the spaghetti it has become. Come on, dest, do your civic duty here in your stomping grounds!
     
    #23     Sep 14, 2022
  4. TheDawn

    TheDawn

    But the seller of a put cannot exercise a put. They can get assigned to BUY the shares when the buyer of the put exercises the put against them when it's ITM. This is why I suspect the story is made up just to make a point to troll.
     
    #24     Sep 14, 2022
  5. Overnight

    Overnight

    Yes, that is what sent me for a loop.
     
    #25     Sep 14, 2022
  6. Auto Exercise?
     
    #26     Sep 14, 2022
    earth_imperator likes this.
  7. Oh, bull. You stay out of options because you're scared of them, that's all. :sneaky:

    Yep - it's a logic error. AFAICT, people missed that he was long that put and assumed he was short ("AFAICT" because I've got the OP blocked, so I can't see about half the convo.)

    Note that being long does not mean you're safe from exercise: if it's ITM and you haven't either closed it or notified your broker not to auto-exercise, it'll happen automatically.
     
    Last edited: Sep 15, 2022
    #27     Sep 15, 2022
  8. Overnight

    Overnight

    Yer GOD DAMN RIGHT I'm scared of them! I don't want to be that guy...

     
    #28     Sep 15, 2022
  9. If you're trading natty gas with those ridiculous margins you get in futures, you already are that guy. :D Although he was stupid enough to leverage them even more... :banghead: :banghead: :banghead:

    It's like "NO! Dancing around this smoking pile of dynamite ISN'T enough for me to get off! Now pour that damn nitroglycerin on it and be quick about it!" WTF... some people's children...
     
    #29     Sep 15, 2022
  10. #30     Sep 15, 2022