I am looking to trade long term calls on QQQ, but the Dec 2024 calls haven't been listed yet. (Like the SPY Dec 2024's have). Is there schedule of when these come out, if at all?
Nasdaq dot com shows only up to Jan 19, 2024 (last page# 24) https://www.nasdaq.com/market-activity/funds-and-etfs/qqq/option-chain
It looks like extra long-dated LEAPS were added specifically for the S&P 500: https://finance.yahoo.com/news/cboe-options-exchange-list-three-190000498.html Based on the OIC options expiration calendar, the next iteration of LEAPS are added in September: https://www.optionseducation.org/referencelibrary/expiration-calendar
I have no intention of doing this, had never heard of it because I am newer to investing, but I do like to learn about new things. So i read about Leap options, I did see an option for QQQ jan 2014 ATM strike is around 47 to 54 .. I read " New LEAPS come out a little more than two years before the calendar year of expiration. For example, LEAP options that expire in 2024 are scheduled for release on Sept. 13, 2021. LEAPS that expire in 2025 will be released in late 2022." I read an entire article of why some people would choose to do this.. It was interesting to learn about it, but I have no desire, but my question is when your looking for a Leap option like this.. its nothing more than an option being sold 2 years from now?
Yes a LEAP is simply an option with a longer term expiration. https://www.investopedia.com/terms/l/leaps.asp
I have another question about leaps that the article didnt cover, maybe someone will know. I got last week i bought 8 contracts calls strike 21 premium was 1.02 each on GOLD ( Barricks Gold) They had earnings the other day that were pretty good. My contracts were good until March 11th. Today the vale of the stock got up to 23.40 and I sold them all for a decent profit. I was reading about Barrick Gold and it appears they will be buying back shares. https://www.barrick.com/English/new...-announces-share-buyback-program/default.aspx " Barrick believes that, from time to time, the market price of its common shares trade at prices that may not adequately reflect their underlying value." My question is, if you buy long calls leap say to January 2024 , and during this time the company buys back all of these shares.. how does that affect the strike price of your contract over time? IF they buy back shares, to resale them at a higher price im guessing? I dont know how it works.. but my main question is, will this affect the contract in a good or bad way? Other question would be, would a person even want a contract out that far? How would a person benefit from this. I would guess if a person feels that the price of the stock os going to be going up considerably over the next 2 years? Current value of GOLD is 23.30 I think an option for this stock was like 5.05 premium barley ITM strike 22 right now this is for jan 2024 expiry. There is a jan2023 expiry thats 1 year shorter, but strike at 23 dollars and the premium is 3.25 If you felt bullish about this for the next 2 years.. would you just buy a 2 year leap? Would you sell it if got way up into the money and just roll into a new one? Instead of erasing my question, I am leaving it up, I found answer to some of this. INTHEMONEY on your tube talks about this