suffering from margin call constantly

Discussion in 'Interactive Brokers' started by weij, Mar 19, 2023.

Was your margin fluctuated significantly overnight?

  1. Yes, always

    3 vote(s)
    13.6%
  2. Yes, quite often

    1 vote(s)
    4.5%
  3. Sometime

    2 vote(s)
    9.1%
  4. Rarely

    4 vote(s)
    18.2%
  5. Never

    12 vote(s)
    54.5%
  1. easymon1

    easymon1

    Overnight "The Thread Derailer" strikes again! LOL
    The boy can't help it.
    Next victim...
     
    #21     Mar 19, 2023
  2. TheDawn

    TheDawn

    He says he's doing stocks too so you never know, the options might be covered by his stocks. He says he does hedge. But what I am saying is if he's getting margin called, it must be options that are getting him margin called.
     
    #22     Mar 19, 2023
  3. Overnight

    Overnight

    I changed my vote to one of the others to make the math easier.

    Here's the first one...

    pollwrongchoice.JPG

    Whoops. Subtract 1 from the 4. 3, 2 and 2 into one hundred too tough.

    So this is easier...
    pollwrongchoice1.JPG

    Now you just subtract the 1 from the top choice, and you are back to 2, 2, and 4, which comes out to neat easy numbers. 25%, 25% and 50%. Oy! Just ignore the one vote!
     
    #23     Mar 19, 2023
  4. taowave

    taowave

    Im guessing he is Delta hedged and short 30 Delta or less options..





     
    #24     Mar 19, 2023
  5. My advice: trade in a CashAcct. You'll never get any margin call. And also no PDT rule. Ie. you can even do daytrading.
    See also this posting of mine about the different outcomes of different account types (CashAcct, MarginAcct):
     
    #25     Mar 19, 2023
  6. #26     Mar 19, 2023
  7. weij

    weij

    Yes
    I made it delta neutral with positive or small negative theta. Also the pnls would be positive under extreme market move
     
    #27     Mar 19, 2023
  8. weij

    weij

    what is overnight margin and how to see it? I saw there are "projected look ahead initial/maintenance margin". They are equal to the non-projected ones.
     
    #28     Mar 19, 2023
  9. weij

    weij

    bingo. something like that except I also buy far OTM options to survive with the extreme market move.
     
    #29     Mar 19, 2023
  10. weij

    weij

    There is "post expiry margin" that work as what you described. Last friday it was >500% in the morning. Around 3pm I managed to reduce it to around 130%. I couldn't reduce further because the attempting orders were rejected and IB determine they would cause initial margin deficit. And then the liquidation reduced it to 90%. On Saturday after the assignment of the expiry options, the current margin stayed at 90%. But now on Sunday it increase to 120% again.
     
    #30     Mar 19, 2023