I wouldn't hold it past January. And currently the market is underpricing this combo, while maybe tomorrow it won't.
It's not a static value (same for all strikes), right? This topic is also discussed by quants here:...
No, I'm not in it. Just showing an extreme example of ToS using single SPX price for all expirations, and charting wrong P&L for those options....
So at least interest rate & dividends, but future expectations of dividends also depend on the future expectations of the index level (implied...
I see. I had bad experience using trades with built-in delta hedging at IB (hedging was good, but the price on options was bad), so I was looking...
Yup, and not just that, but forwards/futures can be priced differently for variety of reasons, also including cost of carry / interest rate,...
Not by retail traders using retail brokers because we don't see millions of people doing this or even discussing on Reddit, right? Even mentions...
Nope. Maybe you posted a link to an image on your local computer? Maybe try copying and pasting the image itself. [ATTACH]
The image seems missing, if you could repost it again?
You nailed it. I'm still working out some details, testing and evolving this approach, but it's looking promising and I'm learning from this as...
Not really, you can't lose much money by the expiration (September 17) because this trade is perfectly balanced, meaning you have 4 DITM calls and...
You will get pretty close. And I just re-tested this trade with the worst possible prices where you pay the full asking price, and there is still...
Or is it? The chart below shows $9K instant profit/mispricing, but may be an example of being mislead by these type of charts, and this can happen...
This one started pretty simple, as a bunch of TECS puts I bought months ago. Later I was manually maneuvering around by adding some calls as...
This morning I flattened my short options positions in TECS and it seems that I've ended up with an arb. Due to commissions and slippage I...
Let's use NFLX as example. 1. You can use synthetic short to completely offset 100 shares of your position, thus instantly flattening your P&L:...
The article is so old that now you can go back to the article's date and see how the stock performed, and whether/how it mattered.
Your expiry in ToS shows Sept-18, while the first option expires Sept 10, so looks like you're exercising/converting it to shares. But my ToS...
The risk graph eliminates the need to do so, but there are caveats, and put/call parity isn't always straightforward on dividend-paying stocks....
I just bought this setup for fun: [ATTACH] Also, my own Risk Graph shows positive Theta and value increasing over time, so quite different from...
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