Do deep ITM calls get assigned if you write them? I was trading some box spreads and only short ITM puts got assigned.

#calls #puts

What are we thinking on SMCI with reporting next week and the ??? On book keeping

If trump wins tesla might see 300$ So am i the only one who is buying tesla calls?

Question for those with experience in strangles and who have been following the DJT madness: if the price is almost entirely dependent on the election results, and those results will swing the share price to either $100 or to $10, is a long strangle an extremely safe bet?

If the downside is that premiums are super high due to IV, I get it

Thanks in advance

What options are you guys looking at if he Wins? Market popped last time.

I know this is not uncommon. But wow!

Stock soar +7% and most OTM call contracts went down. The 11/8/2024 chain is particularly ridiculous.

THE STOCK WENT UP 7%! If this is MSFT, AMD, or anything else, most of the contracts would be up at least 30%+.

Is this just gonna be like this forever, or do you think this would correct and adjust through time?

Thanks!

https://preview.redd.it/abdacbcrjbyd1.png?width=459&format=png&auto=webp&s=e8430d1cc0b239bb81d41d4fcf6bd19ffb24668c

Doesn't delta change with every tick? How do you make it neutral by shorting/longing the underlying or yet with another option? I assume it's easier with a spread since they're both moving although not the same amount and not together.

So if you want delta neutral, you're constantly adjusting your position?

Basically this. This was my first week trading options. I was up 3k earlier this week and by the end of this week I am down 3k. 3k is a lot of money to me and I feel like such an idiot. I never made irrational and stupid decisions like this. I just have been seeing everyone else make money and plus my relationship ending just sent me in a spiral. After I lost my initial 3k that I was up on, I panicked and tried to get my money back and lost 3 more thousand. (Rather than just being even) I feel like such an idiot and I could have really used the money to buy necessary things for medical school when I start next year.

I really just felt like ranting and getting this off my chest. It’s making me feel horrible about myself and I hope I can forgive myself and move on from this soon, because I hate feeling like this.

Whats the difference between a pullback and a trade being invalidated? Watching qqq right now, just wondering how others identify whether they should remain in positions or not based on price moving other way

How does everyone write and track outcomes of your trading strategy. I've been tracking trades in spreadsheets. Only trading for a few months and mostly was just learning the overall functions of different sites. Now I'm trying to refine my strategy. My basic thought is using a Doc to write it out and keep notes on trades between the Doc and Sheet. What type of notes are you keeping?

Now that the exchanges and major brokers are looking to trade overnight Monday - Friday (Schwab), will options also be traded in overnight hours?

Extreme flame suit on

I'm looking for find a charting provider or broker who provides real-time decay information on 0DTE option pairs. Are there any such that come to your mind?

So long story short, I have 27-27.5 put debit spreads on HOOD (put leg of a long iron condor) that were just assigned. Allegedly there’s about 1.24 per contractor extra value in the long leg of the put. Is it worth trying to sell the contracts then the shares separately? Or is that just utter insanity?

These options expire today (Friday), since I forgot to mention that

Edit: word salad

I made a short iron condor and it got assigned before the expiration. What do I do?? RH says my buying power is account dedeficit. What do I do?? Is my account ruined? This was my first time doing an iron condor. Please any helpful information, I would really appreciate it.

Opinions on $8.5 exp 12/6 for PTON/Peloton?

This is a silly question, but couldn't the Intel Guy who yoloed 700k recuperate significant losses by selling OTM covered calls? Intel is a blue chip stock, so it's less prone to volatile movement and getting assigned

If that individual is reading this post, don't take this post as financial advice.

Some people actually predict DJT would dip below 5 dollars in a week???

I bought two NVDA 140 strike call options (11/8 and 11/15 expirations) yesterday when the underlying was around $138. This morning about 30 minutes into the market being open I had lost about $500 so I decided to cut my losses and then get back in at a lower strike price. What are your opinions? Would it have been better to roll the options?

Is there any reliable brokers which offer that service? Nothing too fancy. Just normal options with underlying being crypto.

I do know there are BITO and BITX, but I want a more diversified crypto portfolio.

Hello.

On Friday I decided to enter a position and bought SPY calls for 575 expiring December 20, 2024. I bought 100 of these when SPY was at $583.70 and each contract was $22. The total position was worth 220k and this is roughly 30% of my portfolio. My goal with these options was to ride them through earnings. So far things are not looking good and I am down about 80k.

I know I’m basically gambling at this point and I’m sorry if I’m not allowed to post content like this here. My question is, should I roll these options to buy more time and mitigate the risk, or does it make sense to ride it out with the time I have left. What do others do when options don’t go your way?

Please don’t sugar coat anything but I would like any and all advice if possible.

If I buy a deep in the money call let's say $x and sell a $x+1 call for near expiration day (let's say Thursday if the option is expiring Friday).Bar any catastrophic events, I can get $100 by buying at x and selling at x+1. I searched around various stable stocks and found these selling from anywhere from $85 to $92. So it means a guaranteed profit of $15-$9 almost risk free? Am I missing anything?

I try to compute myself the implied volatility (for educational purpose). I know that I need the risk free rate. What is it and where I can get it?

Hey r/options fam!

I've been grinding away developing an algo-based options trading strategy and I’d love some honest (and brutally honest) feedback. Here’s the scoop:

1. Fully Automated & Diversified: My bot dives into the top 20-30 most liquid options markets each day. It spreads out the risk with small allocations per market, keeping the overall risk between 10-20%. Plus, it adjusts weights based on market correlations and liquidity to avoid putting all eggs in one basket. 🥚📈

2. Mean-Reversion + Momentum Hybrid:

• 60% of the time: Markets tend to snap back when they hit 2-3 standard deviations from the mean.
• 30% of the time: They don’t reverse because some fundamental news drives them to new extremes.
• My algo plays both sides, betting on reversals and riding those momentum waves when things get wild. 🌊🔄

3. Premium as Stop-Loss: Each position has a small risk, so the total premium I pay acts as my stop-loss. I leave it alone unless it turns green or expires. No micromanaging here! 🛑💚

4. Intraday Profit Trailing: Starts trailing once we hit a 30% return. If the market moves up to 40%, and then back down, we exit at 27% (which is 40% * 0.66). This way, I lock in profits while giving the market some room to breathe. 📉➡️📈

5. Rebalancing Every 30 Minutes: The algo rebalances every half hour. Tried more frequent tweaks, but didn’t see better returns since the market often just chills. Balancing act, ya know? ⏰⚖️

6. Buy Options Only: Sticking to buying weekly or 0dte (zero days to expiration) options. Not trying to be a market maker or anything too complex. Just keeping it simple and direct. 🎯📅

TL;DR: Built a fully automated algo that trades top liquid options markets, combines mean-reversion and momentum strategies, uses premiums as stop-loss, trails profits intraday, rebalances every 30 minutes, and only buys weekly/0dte options. Looking for some 🔥 roasts and constructive feedback!

Thoughts? Am I onto something or totally missing the mark? Let me know what you think! 🙏🔥

#OptionsTrading #AlgoTrading #NeedFeedback #RoastMe

I'm trying to figure out how to delta hedge a position through earnings to protect gains and can use a little help.

For example, if I am long 3000 shares on a stock priced at $10 with a cost basis of $5. I would have to buy 30 put contracts. What I don't understand is what strike price and expiration I am looking for on those contracts?

Also, on those contracts am I looking to exercise or just sell the option to collect the premium?

Hi guys, I am looking for an example of pulling an option chain for a share from Interactive Brokers API using Python (ChatGPT seems to struggle with this).

What do I want? Can you help?

def getOptionPrice(ibClient, symbol, expirationDate, strikePrice):

.....

....

return ask

I’m interested in learning about options trading but unsure where to start. I was recently made redundant and have enjoyed my time off learning and building. While I’m passionate about value investing, I’m now looking to explore riskier strategies while I have the flexibility. Any resources or guidance would be much appreciated.

I never been early assigned before. Bought 11/1 170c sold 172.5c. The way I see this is I’m guaranteed the spread right? Best case scenario price crashes below my 170 and I make out better than my spread by buying shares to cover. I’m I missing something

Game Stop recently implemented submitting Pokemon cards to grade with PSA, aside from buying/selling slabs. I believe there's profit to be made long term, maybe even becoming a staple of GME's revenue.

GME is due to report earning's on December 4th, the P/E ratio is 175 so it's not a deal by any means but the market is forward looking. I do not think the price will dump before earning's.

1. The projected EPS is -0.03, so if it comes in positive with surprise beat maybe from grading/buying/selling slabs the market may react positively.
2. The IV is incredibly disproportionate making it possible to buy long dated calls and sell weeklies leading up to earning's, gaining a ton of premium without even selling past the earning's date.

My plan is to buy $22c Jan. 17th 2025, the cost for these 78 days is $450 per contract. Selling the $25c Nov. 8th, the premium received is $86 per contract or receiving 19% of the original debt paid back in just eight days. There's still three more weeks can sell before earning's with IV rising, so receiving more premium each week, and if price rises in anticipation of earning's will build gains in long calls.

Goal is to set up an earning's play month out in advanced, selling the elevated IV to pay off the calls, to hold through earning's hoping for a surprise beat due to PSA partnership this last quarter, which many analyst most likely underestimating/do not know of. Not financial advice. Thoughts on my thesis?!

I asked this morning why my google calls were crap after earnings and you guys gave me some solid advice! I payed close attention to my Greeks and played IV to my advantage. I bought Hood calls early after bell at .60 the IV got up to 200% and because of my google lesson I figured I should take profit sold at .92… thanks to all who took the time to explain something that is in the FAQ’s I think it made me more confident in my caution👍🏼

No longer shall I lose money

I will now only sell options instead, since literally all my plays result in losses. I will now sell options where I think the options will end up ITM