Never long front month call/put?

Discussion in 'Options' started by turkeyneck, Dec 21, 2010.

  1. tomk96

    tomk96

    did guy cohen make a living on selling leaps? because that's the only sense i make of that. if i want to make a directional play, i want an option that is going to be most sensitive. i want an option that has gamma.

    short term options have time decay, but longer term options expose you to vega. if vol drops 2 points across all expirations, the longer term options get hit the most.
     
    #11     Dec 23, 2010
  2. No sure anyone can make living with LEAPs, but I am sure you make a lot of money from selling books on how to trade LEAPs :D
     
    #12     Dec 24, 2010