Why choose options trading

Discussion in 'Options' started by Jfranco_2003, Sep 8, 2019.

  1. marameo

    marameo

    Can a trader sell volatility just by trading the underlying?
     
    #21     Sep 9, 2019
  2. Wheezooo

    Wheezooo

    No
     
    #22     Sep 9, 2019
  3. Robert Morse

    Robert Morse Sponsor

    You can do as many trades as you want in a cash account until you run through your money. Then you have to wait for trades to settle to trade more.
     
    #23     Sep 9, 2019
  4. Robert Morse

    Robert Morse Sponsor

    I was very clear. Margin accounts under $25,000 are subject to PDT after 3 trades in a rolling 5 days. Cash accounts are not subject to PDT. Futures account are not either. Options on futures too, no PDT.
    https://www.finra.org/investors/lea...ng/day-trading-margin-requirements-know-rules
     
    #24     Sep 9, 2019
    KeLo likes this.
  5. Robert Morse

    Robert Morse Sponsor

    Yes, up to your Buying power at 1x.
     
    #25     Sep 9, 2019
    KeLo likes this.
  6. destriero

    destriero

    Many brokers will not let you spread, or only on indices. Waiting on settlement sucks as well. Just stick to FOs.
     
    #26     Sep 9, 2019
    KeLo likes this.
  7. Turveyd

    Turveyd

    Didnt have the settling rule when i traded options i dont think, more swing style, used to daytrade stocks.
     
    #27     Sep 9, 2019
  8. Robert Morse

    Robert Morse Sponsor

    CASH account, not margin,
     
    #28     Sep 9, 2019
  9. KeLo

    KeLo

    #29     Sep 9, 2019
  10. Turveyd

    Turveyd

    Had Margin account for defo, 18years back so tricky to be 100%, shortly after PDT rule came out.

    Just didn't break the rules I guess, so wasn't aware, stocks I used to close profit before the close every day, options swing style so wasn't an issue.
     
    #30     Sep 9, 2019