Discussion in 'Options' started by EMini-Player, Jul 16, 2003.
Open interest has nothing to do with getting filled ...
How about theoretical edge, or lack thereof?
The only things that should affect a fill are locked (in some cases), crossed (most of the time), below parity (sometimes), fast markets (the kiss of death) ...
Yes, but it makes me feel better knowing there are other fools out there holding the same contract as me j/k
Don't be tempted. As a special play now and then, okay. But on any kind of a regular program you will get chewed up with spreads and decay. Been there, done that. If you have a successful swing system, stick with stocks or SSFs.
I have just started the option scene. However on the sell side. Been waiting till about a week and a half before expiration, and using the same analysis I do for my day trading, get an idea of the direction on the daily and sell puts or calls. Have done a couple covered, but mostly naked.
i.e. Just after SONS hit its high, along with a bunch of other stuff, I sold the max number of calls that my account would allow. Didn't have much wiggle room but was convinced it was going down. Of course had an exit point should it have gone back up, but all my stuff told me it was not. And I am actually up more than had I just sold the stock short (using my account size and trading the max shares). True it could continue down but by the end of tommorrow It will be on to another trade.
Make 'em pretty, Chris
If you continue to sell naked, you will have a short trading career. The few premies you gain from the strategy will look like a joke when the underlying moves against you. If you came out ahead this time with naked calls, consider yourself lucky in a falling market, and leave the strategy behind. If you can pick stocks and forecast movement, you are far, far better off in the long run with the stock or an SSF. Trust me.
Y, trade options...
what kind of trades are you considering ?
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