Update (12/31/2022):
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Last seen: Jan 25, 2022
@membar I’m not familiar with all the symbols you’re selling on, nor am I an expert on stock picking or anything. But this caught my eye: My situa...
@earlyretirementnowcom this is why I still follow the rule of thumb to keep at least 2% of the notional value in cash. As I’m still earning I usually ...
@fi4wanderlust Not sure but here’s the tax form/p>
@fi4wanderlust I avoid short calls since they’re correlated with my regular portfolio and with IV contractions so there isn’t the opportunity to make ...
Another low IV end of day. Set up at 4135 at close for $1. Only 50 points OTM, which is getting really close to a 1% OTM threshold that I’m not sure I...
@fi4wanderlust I worried about that my first year too but it ended up reported correctly on tax forms.
Interesting day to sell after the long weekend! Where are folks ending up? I sold 3960 for $1 following my rule of taking lower premium on big up days...
@fi4wanderlust on an ES right? Which would be about the equivalent of 3010 or so for an SPX right now. If we get to the point where the puts to sell...
@fi4wanderlust in contrast in my tax situation preferreds are taxed nearly 25% more than munis so they really have to do a lot better to compensate. I...
@fi4wanderlust low volatility and a 3 day weekend means I am waiting until right before close. It’s only a long weekend for market expirations and not...
@navypack you’re usually a bit higher, trying a new approach? I’m still targeting $1.2 for W/F expiry, putting me 10-20 points above you today.
@fi4wanderlust No arbitrage means that futures (and options) must be priced so that you can’t make guaranteed profit just from exploiting the price di...
@fi4wanderlust main reason is that the ES contract usually trades a few points below SPX index due to the no arbitrage condition. Look at the puts tha...
There are so many levers one can tune in this strategy. The ones I’m most focused on are when to adjust delta, DTE (just morning vs close), investment...