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General Questions
Mark, Thanks for your reply. Do you mean I can tell my broker (I have Ameritrade) "please do not exercise my contract if it's in the money by 1 cent" and they would accept it and not exercise and not charge commissions? I thought the ...
2 messages
iron condors
Mark, Is trading iron condors safe thing to for a new trader. The web site I'm looking at joining Iron condor panda investment strategies. Could you check that site out for me, and tell me what you think. Thanks David David, 1) No options strategy ...
1 message
bac buys cfc
Mark, When B of A bought countrywide (cfc) they put an approximate value swap of 5.5 to one. The day of acquisition my cfc jan/10 strike $30 was down to .01 cent. I hold 50 units ( 5000 options ) (you hold the right to ...
1 message
collar
Hi I am new to using options and would be interested in using a collar for CSIQ (Canadian Solar). I have no idea as to how to structure this . Could you give me some advice? CR Hello CR, I cannot give specific advice, but ...
1 message
writing covered calls
i was doing some research on covered calls and came across your article you wrote a couple of years ago. i don't see where there is any down side. even though the profits might be small it appears to me that you will make some ...
2 messages
IRON CONDOR
Hi Mark Please tell me which of these two IRON CONDOR -for RUSSELL 2000 that you prefer and why? CASE 1: RUY P SEP 680/670 RUT C SEP 790/800 NETT CREDIT=$2.90 CASE 2: RUY P SEP 650/640 RUZ C SEP 820/830 NETT CREDIT=$1.05 RUT CLOSED ...
1 message
married put with other stuff?
Hi Mark Got a question. Let's say you find a stock, buy 100 shares, buy a married put 1 year out, then write the covered call to bring in money to pay for the married put. This is probably a bad idea, assuming the put ...
1 message
Married put strategy
With the volatile market we have seen lately, I am becoming risk averse. Is it a good risk averse strategy to buy a married put that expires in a couple years, and then sell covered calls just going out 1 or 2 months at a ...
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(2)contractsVSCAE and (1)contractFLRAQ Jan 09
Purchased (2-contracts) VSCAE which split 2for1 and( 1-contract) FLRAQ both due to expire Jan. 09. Original costs:VSCAE-2 contracts 96.60 or 19,320.00 total. FLRAQ-1 contract 105.00 or 10,500.00total. My opinion,buy the the stocks even though I,m in the hole. Both stocks have split since I bought ...
1 message
Re-selling vs Exercising stock options
Hi Mark: Hello Irene. I am very impressed with the answers you give to the questions. This is exectally what I have been looking for in trying to understand the action of options. Thanks. I'm happy to help. What is the difference between reselling a ...
1 message
covered call option writing
Hi Mark, New to this area, in a article you wrote about covered calls, you cautioned the reader that there was increased risk if the price of the stock went down. If I own 100 shares of XYZ and I write a covered call, if ...
1 message
early exercise on index options
Hi I teach options at SUNY-Binghamton and was wondering how long an OEX index trader has after the close of trading to inform the exchange that he wishes to exercise an option. 4:15. 4:30 later or is it a grey area? It's not grey. There's ...
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can you tell me what this means
BAC Feb 2009 8.0000 call (CONTRAC.T_SIZE=100, 85 shares of BAC, 13.71 cash) (.JLWBL) The underlying security is from the merger of Merrill Lynch and BAC. Does this mean I will get 85 shares of BAC per contract if I chose to exercise? Yes. If you ...
1 message
Covered Call: What to do when stock falls rapidly
Hello Mark, Hello Jorge, I've read your article: "Covered Call: What to do when stock falls rapidly" at http://www.bivio.com/know_your_options/mail-msg?t=77575400003 I really like how you write Thanks I try to keep it simple, cover all the details and not be too long-winded. and maybe you can ...
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option exercise
If I buy a call option on March 20, 2009 1. Strike price of $20 2. Expiration date of May 20, 2009 3. The stock is selling for $35 on May 15 Can I exercise the call option and buy the stock on May 15 ...
1 message