Questions tagged [option-strategies]
The option-strategies tag has no usage guidance.
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What margin requirement should I pay for the option positions?
I want to establish the following positions:
Long 50 ABC jan 820 Calls @3
Long 50 ABC jan 675 Puts @4
What margin requirement should I pay for the option positions?
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Large ATMU trades : were they sold calls or a bull call spread?
Here's all the options trades for ATMU on 2024-03-21 that had a premium greater than $10,000:
I've highlighted two that were both of size 10,000.
In both of those, the price is closer to the 'bid'. I....
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What's the capital needed in order to achiev $500 monthly with Options Trading
I'm looking for some advice on to achieve a monthly income equal to my monthly expenses which is 500$ - I already have a portfolio of monthly dividend stocks valued at around $1,200, which provides me ...
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513
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Poor Man Covered Call Trade Selection and Set up
I did some learning on the PMCC strategy and thinking to implement it on SPY.
As the reading materials urged I have been trying to make sure the initial set up long ITM LEAP at around 0.8 delta, and ...
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Can you effectively reduce the cost of a long call on an index with a synthetic long and married put (e.g. replicate an XSP call using SPX options)?
Imagine you want to use periodic cashflows to purchase deep-in-the-money LEAPS (>1yr expiration calls) on SPX, but the size of the cashflows are too small to do so consistently (the cost of such a ...
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How to properly hedge indices futures NQ by selling leveraged index options TQQQ or SQQQ?
Is there a formal futures NQ vs TQQQ options contracts hedging ratio calculation/strategy to tap on the fast decaying value of weekly expiry TQQQ options thereby creating an asymmetric risk-reward ...
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88
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confusion about gamma and gamma portfolios
Generally, a long gamma portfolio will make money when the underlying:
(a) out-realizes the historical volatility (measured close to close)
(b) out-realizes the implied volatility (more than making ...
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IV applied to Buying Vs. Selling Option Contracts!
Is low IV (Implied Volatility) good for selling or buying options?
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73
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How to Roll Put Options (Buy to open)? (Bought to Open)
I have a put option that I bought to open but the market has moved against me. So I'm looking for a way out of the contract other than taking a huge loss. I want to know my options for rolling them ...
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160
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Bought Put Options that are getting close to Expiration
If I let my option expire ITM (Bought Put Option) I will then own those shares. My account won't allow me to do covered calls or covered puts so I can't leverage against them. What are my other ...
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How to calculate break even price on delta hedged portfolio?
The underlying currently trades at 10. Suppose you have a portfolio consisting of:
1 Call at strike 11 with premium 0.4
A short position of 25 shares
Calculate the break even prices of this ...
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What's the negative about buying contracts 1 month out when scalping options? (Is it buying same day or 2-3 day contracts are way cheaper?)
What's the negative about buying contracts 1 month out when scalping options? (Is it buying same day or 2-3 day contracts are way cheaper?) I don't want Theta to negatively affect my gains.
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189
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Best approach to select strike prices for an Iron Condor?
Options beginner here.
I'm aware of three popular ways to select strike prices for Iron Condor.
Select strikes such that they are equidistant from the CMP.
Select strikes such that the they form a ...
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How can I bet against a particular stock in relation to the market?
I’ve heard people doing spread trades when they think one stock will do better/worse in comparison to another stock or index. I’m looking for details on exactly how this is done.
Is there a particular ...
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Do I need to worry about dividends when trading credit spreads?
I trade in the options market, mostly with vertical credit spreads. If one of my underlyings has a dividend coming up, does that affect my holdings? My guess is that the short and long position would ...
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