That was his point -- the company announces that it will release news after front month expiry but before back month expiry. Back month vol...
No dividend, but I did find a similar thread in which Maverick74 outlined a fairly terrifying event in which back month vol explodes and front...
I am considering a short calendar spread as an earnings play (buy ATM near-term, sell ATM farther out). The underlying appears to be...
If I'm not mistaken, the originator of the thread fancies himself as an educator on options. Am I right? How in the world can that be given his...
Well, I disagree. There are pretty simple long/short timing techniques on say SPY that can be shown to return ~ 12% annualized (before taxes,...
Understood, oldnemesis. Thanks for the input. I'm curious -- what drives you to go bull call over bull put (debit VS credit), etc.? Is it just...
I never claimed to have invented the idea. That said, I would probably be inclined to go farther OTM on the call and put. And, I'm more...
Is that different than "Option Strategy Risk/Return Ratios"? I have that one.
This would be my angle. Pick a basket of stocks I like and then sell calls to finance puts on something like SPY to hedge downside risk. It...
Could anyone point me to studies regarding the use of "zero" cost collars on a portfolio? I'm curious to see how they work in practice. I like...
Buying to close a short call is not a necessarily bullish move. Your profit is capped, so it could just be smart money management. You could...
I'm not understanding the rationale behind dumping the long position instead of the short position, at least if his outlook remains bullish, so I...
optionsXpress reduces commission on OTM option buybacks, but it's something like half rate. Can't remember if they do the same for selling...
I don't think the reference to a no-cost collar comes with the assumption that both OTM options have equal delta. As you point out, the put is...
Oct15 80 delta MSFT calls trade for ~ 6.7X leverage. What's wrong with assessing your budget for the underlying (say 80 shares) and instead...
Very interesting discussion. Would similar modeling risk extend to diagonals or plain calendars? I have experienced more than my share of...
Not a rec per se, but I've been liking ESV for a while now. Bought a few ITM call diagonals Friday, let's see if they're still ITM tomorrow!
Take a bull call debit spread. A very crude approximation of expected profit would be: The probability of each leg finishing in the money is...
My guess is that you aren't seeing all the trades. I'd trust your own account history far more than some chart.
I'm not sure what you're saying. That's a 37 cent debit for starters. Regardless, are you saying the charts never showed the $103 options...
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