Recent content by MFranc123

I don't feel the need to defend myself. For the record, I was way under before this, and due to sheer luck buying deep a few OTM options (to participate in what people where theorizing to be a short gamma squeeze) I came out on top. For the record though, I almost completely liquidated my Tesla...

I make a plea to those of you who, like me, are retail traders and not pros. I am a very young retail trader from Italy, this is not financial advice, and you have no reason to believe me. I know you are going to question my motives. I implore you to believe me that this is seriously done in...

Ok, I don't even know what kind of words I could use to congratulate you guys today (so just have these).

I'm definitely not an option expert, I'm replying to this only because I haven't seen anyone else replying to you. I could be wrong, but here's my understanding: In general, if there's any amount of time left on your option, it shouldn't make sense to exercise them*! Imagine that by exercising...

Just wanted to say congratulations to all on this last spectacular rally. : D

I'm fairly sure - but again, please correct me if I'm wrong - that what actually makes market makers increase or decrease the move of the market is gamma, not OI in either puts or calls - ie. whether MMs have to hedge puts or calls, the magnitude of their dynamic hedging is about the same in...

Oh, I hate that I missed liftoff this time :/ What a time we live in, being able to just tune in rockets going into space, sending satellites into orbit...

I'm going to take this as a... partial victory, I guess. :p

Sorry, I misread a post I was replying to, and thought we were discussing people buying the $10 calls. You're absolutely right.

For the Nov 15 calls, my broker (interactive brokers) calculates delta as 1.000 for everything below $240. It's surely rounded, but I bet there are a lot of 9s in the unrounded number. If we go out to March, $60 and below have a delta of 0.999 and $30 and below have a delta of 1.000.

I think this is incorrect. If you buy a $10 call on a $300 stock, that's virtually identical to buying 100 shares. The position will have virtually 0 extrinsic value. The market maker doesn't have to worry about hedging the other greeks with something this deep ITM, but will certainly delta...

@Fact Checking can I ask where you learned so much about options? I'm thinking of buying the Sheldon Natenberg book. How does it look to you?

When people talk about reverse engineering, it's almost always to refer to the case where you don't have the source code. It's very time consuming, but it can be very exact. You get all the instructions that make up a program, which is usually enough to discover whatever you want about it, even...

@StealthP3D, let me reiterate that I do not know whether Chanos is operating morally or he is guilty of all the accusations I'm reading in these last few pages. I will try to research them to make up my own mind. I was not defending anything. I hoped to clear some confusion regarding the...

OK, I might be wrong here, but this is my understanding of the matter: You do get $900K cash when you short $900K worth of stock. You can try it if you have a margin account by shorting a single share of something like iwm or SPY. You'll see your dollar balance go up. The reason it's not free...