So I profited 820 dollars on a deep ITM options spread and received this email from Tastytrade

Discussion in 'Options' started by Con1991, Apr 22, 2024.

  1. poopy

    poopy

    I was responding to wxy but you will suffice. You suck at this.
     
    #81     Apr 23, 2024
  2. You are missing the entire point. Why don't they just reject the trade at the time of the trade like EVERY other platform I have been on? The best method they have is sending a pissy email? wth?
     
    #82     Apr 23, 2024
  3. I needed some entertainment today. Thanks, guys. :D
     
    #83     Apr 23, 2024
  4. Well were you able to cover being exercised? If not then the trade should just be rejected automatically as a naked call or put regardless of the spread. The reason being that the protective long option will not protect you if you have early assignment. You will have to deliver or purchase the shares, which would put you short. Deep itm options get assigned early regularly.

     
    #84     Apr 23, 2024
  5. newwurldmn

    newwurldmn

    #85     Apr 23, 2024
    poopy likes this.
  6. I didn't miss anything - especially your pissy and gaslighting attitude.

    They run their business their way. Not yours. They don't even owe you an explanation of what their risk department decides about your trade - but you clearly didn't bother reading that part of the agreement.

    When you, or your sock puppet, or the idiot you're stanning for, lie and explicitly violate a policy that you've been warned about, you pay the price.

    Since this isn't an actual question anymore - it's nothing more than you trying to defend your ego in order not to be wrong with progressively more stupid non-arguments - I'll be ignoring you from here forward.
     
    #86     Apr 23, 2024
    taowave likes this.
  7. poopy

    poopy


    Why would they reject it? 90% of flow would disappear if every order had to be cash secured when traded. Just STFU with this nonsense. Chris warned him not to trade DITM garbage that forces auto-ex and assignments. He used the term "uneconomical" and he was being polite at that.

    This is worse than his previous vert-trading (single date) as the diagonal leaves one leg held to the tune of six figures notional with a $500 net liq. NO BROKER is going to let the short leg go into exp. They will be forced to cover the trade at mkt if the OP fails to cover. They are literally at risk to the tune of 200X if his assignment leaves him long the back-dated put.

    You're an idiot. Deal with that.
     
    #87     Apr 23, 2024
  8. poopy

    poopy


    Sure dude, with his $500 net liq.

    And ofc you're wrong. He's trading euro-style indices. No early assignment.
     
    #88     Apr 23, 2024
  9. Con1991

    Con1991

    No, I didn't need to. Since I was trading cash-settled index options. There is no early assignment risk with index options. Even more bizarre that they take this attitude with such little risk exposure. Clearly Tastytrade is not in the same league as Schwab and IB I guess. Frightened at the little people making money from their frankly average platform.
     
    #89     Apr 23, 2024
  10. newwurldmn

    newwurldmn

    even more bizarre than that is that they let a bozo like you trade options with a 100 account.
     
    #90     Apr 23, 2024