When you are on the other side of that (the one that is long a DITM call that is trading for less than intrinsic) you are in fact incurring a...
You don't need to have zero time value for an exercise to be worth it. It just needs to be less than the upcoming dividend.
Same here, OTM options are way more liquid and tradeable. Once you have something that's DITM you are either sitting on a pretty profit or in some...
I don't know which platform you use but IV is trackable in most brokerage platforms. If you want to use options you will need to learn IV and...
Oh they respond as expected. You just need to know what to expect and that takes some time reading, learning, experiencing and arriving at your...
Yes, even if it's ITM by $0.01 ($199.99 in your example) you would get exercised which, since you have long stock with your puts would mean that...
This acceleration occurs in the way you describe very close to ATM. OTM (delta 20 and further for example) has a smoother decay (and gamma/theta...
Not to burst your bubble but there might be just a little bit more to options than that. If you are seriously thinking about using options try to...
It depends on whether you want to be long or short the Iron Condor. When a trader talks about an IC for the most part they mean they short it...
The problem is that if you are "sure" it's a one-off, the market most likely knows it too and already reflects it in lower levels of IV. I do...
Turning your trade into a fly is a way to start conceding defeat (on this trade) but still salvage a few cents leaving the possibility open that...
? Would you assume there is a market tell (direction-wise) based on retail trades?
Volume, OI, etc are useless as any indication of anything (other than obviously liquidity) because you don't know whether a certain trade is a...
How much is the 64/66 Call Spread going for?
I agree with all the recommendations so far (McMillan, Hull, Sinclair, Bennett (amazing), Natenberg, Cottle) and would only add "How to calculate...
You mean sell an Iron Condor on top of the ITM Short Call Spread? Wouldn't the put side create a box when combined with the existing short 250/255...
1.10 x 1.28 (bid x ask) Looks like you can get out with a profit right now. Still, $0.18 of bid/ask spread on a $1.17 option (> 10%) is a sign...
Option Prices after hours are not reliable indicators so I wouldn't worry too much about. Wait until tomorrow after the Market opens and you will...
Fair enough, I just got home so I did it after hours but I have been monitoring the whole week and it's something similar... for that...
Hello, We all know that the options market is usually correctly priced so that no arbitrage (especially by retail traders) will be possible...
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