But I don't think I'm in general far off on the timing of my triggers. Where I'm having problems is in performance using ATM or OTM calls....
Well, my reported results going long the underlying are honest-to-God real life results. So, I think I'm doing OK. I'm sure others are killing...
I don't enter trades early. I enter them when they trigger -- it's basically a relative strength trade. That said, if I'm happy with how I do...
You're suggesting the ATM call, whereas others indicated DITM calls would be a better proxy for the underlying. Can you elaborate on the differences?
Sorry, I didn't get a chance to place that trade yesterday.
Thanks. That is an eye-opening point of view.
The day it occurred to me that a long call was essentially long stock with an "invisible" stop was a day my trading got a lot better. Indulge me,...
This may not be the answer you are looking for, but I sometimes place an exit on an option play based on the price of the underlying.
I took a small flyer on the AAPL AugWk4 495/500/505 put butterfly in the last hour of trading last Friday. Sold it for $355.17, bought it back...
Didn't mean to imply that 155/171 was ATM -- 164/165 would be. Looks like the Sep13 164/165 risk:reward is ~ 1.38 (and it's a pretty binary...
Thanks for clarifying, cdcaveman. I'm definitely not all the way there yet. I understand the synthetics -- I always start with "stock equals...
I've been re-reading a couple of my options books, and I see some of the points made on this thread more clearly. Thank you. I have a specific...
Agreed on the index argument. TSLA isn't the kind of stock I'd play this way. JNJ, now that's different.
Isn't his idea to buy cheap options out on the tails and keep everything else in treasuries?
Please understand every argument I have made supporting these kinds of strategies are exclusively in the context of B&H as the benchmark. What...
THAT is an argument I can get behind -- effort and tax exposure don't justify the return, at least for some people. I don't have anywhere near 70...
Hey, I'm taking this too far. Apologies. I'm definitely not looking for a fight. I'll dig into the archives and catch up.
My math skills aren't off. Statistically, the number of times a stock doubles and you get stuck with 2% are almost nil. It is more than offset...
Sorry, I had 2% on my brain -- that depends on expiry. Most of the calls I've sold and had expire worthless are maybe 2% OTM but priced at a...
Look, I realize I've contributed to the thread hijack, but assuming the original poster got his money's worth: Read the study. Look at the...
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