Mostly Foggy Recollection said:ehrmantraut said:Which did you buy?Mostly Foggy Recollection said:oldarmy1 said:
RKT probably good for $1 gain tomorrow. Simple chart divergence into bullish sentiment
Bought some weeklies
December 4 expiry... 21s
Got them for .38 entry
zwhag2010 said:Mostly Foggy Recollection said:ehrmantraut said:Which did you buy?Mostly Foggy Recollection said:oldarmy1 said:
RKT probably good for $1 gain tomorrow. Simple chart divergence into bullish sentiment
Bought some weeklies
December 4 expiry... 21s
Got them for .38 entry
I looking to buy dec 11 21.5c
Buy 1 million shares, make 1 million dollarsehrmantraut said:What would your play be?oldarmy1 said:
RKT probably good for $1 gain tomorrow. Simple chart divergence into bullish sentiment
This is common. You kind of have to ignore "last trade" or "% change" for options quotes. There is no real good way to look at options pricing, outside of current bid/ask. Each broker uses one (or a combination of) method that is assuredly wrong by the time they quote it. I found an explanation I used before on an old thread (https://texags.com/forums/57/topics/3106889/replies/56962079), and quote it here:Bob Knights Liver said:Bob Knights Liver said:
MBIO. Why did the Mar $2.5P jump 150% today while the stock price moved up over 7% with volume? Is there something funny going on here?
And yes I did sell a bunch of these puts just now. I feel like I'm being trapped. Like this is 20 minutes before the stripper side piece pulls out the pregnancy test
Quote:
A word of caution on options quotes and "value" estimates used in calculating unrealized gains or losses: You really have to look at the bid/ask spread, which is quite wide compared to the underlying stock bid/ask spread. Therefore, brokerage accounts use a variety of methods to determine interim performance (which is frustrating, but there's no really good answer).
The "last" trade for options contracts is an automatically wrong method, as the last trade may have been days or weeks ago due to the thinly traded character of most option contracts. Schwab, my broker, for example, uses a hypothetical mid-point between the bid and the ask for intraday quotes and value estimation. This may either undervalue or overvalue what the market really is, but may be the best compromise. Then, at closing, they switch over to the end of day bid, in most cases, I think. This generally understates the value, but is closer to what you could have realized if you traded right before closing. It is sometimes something else entirely, which I haven't figured out.
Just saying, don't confuse option theoretical gains as real until your trade executes - all quotes are an estimate, by nature.
khaos288 said:Buy 1 million shares, make 1 million dollarsehrmantraut said:What would your play be?oldarmy1 said:
RKT probably good for $1 gain tomorrow. Simple chart divergence into bullish sentiment
They report tomorrow. Cross fingers for a beatMcInnis 03 said:
Ohhhhh MOMO, what do we do with you. Holding 16C for April.............
My 12/18 16c will either be worth a trillion or zero tomorrow about 10AM Not exactly a trillion but...McInnis 03 said:
Ohhhhh MOMO, what do we do with you. Holding 16C for April.............
I sold calls against my calls as a pillow in case of fall.oldarmy1 said:They report tomorrow. Cross fingers for a beatMcInnis 03 said:
Ohhhhh MOMO, what do we do with you. Holding 16C for April.............
Just a 1MM share buy, that's all.Mr President Elect said:
What happened with FEAC right before the bell? A bunch of my covered calls just triggered but now I am not so happy about that.
I don't know about the specifics of this situation, but this also is common. A principal component of options pricing is expectation of future volatility, which is not linear. It isn't just plugging variables into the Black-Scholes model and getting the "answer", it also involves trader judgment and emotion, which are very hard to quantify. It's an iterative process that impacts the current bid and ask prices. So, it is indeed quite possible for options prices to appear to be nonsensical, in the short term. Over time, it reverts to more what you would expect. There's no real good way to explain this, until you've watched it firsthand for a while.Bob Knights Liver said:
I've seen that before but I was actually able to sell these MBIO puts for $0.50 and $0.45. It didn't make sense that these got more expensive as the stock price moved up. I used the money to buy RKT calls. If someone would have told me a year ago I would have typed those sentences I would have whipped their butts for lying and then swore off whiskey
So close to Net Free.....TxAG#2011 said:
Good lord Roku, so beautiful
McInnis 03 said:
ZM has great earnings and stock drops 8%, trying to recover now in AH.
E said:McInnis 03 said:
ZM has great earnings and stock drops 8%, trying to recover now in AH.
2020 is so frustrating. This seems to be the theme... great earnings but immediately drop
my FUBO holdings say keep going!TxAG#2011 said:
Good lord Roku, so beautiful
hope so. Need to inspire confidence in Chinese stocks. Qd probably comes along for the ride.oldarmy1 said:They report tomorrow. Cross fingers for a beatMcInnis 03 said:
Ohhhhh MOMO, what do we do with you. Holding 16C for April.............
