suasposnte187 t1_je5jt43 wrote on March 29, 2023 at 3:53 PM

Reply to comment by Flash_ina_pan in Everyone has a plan until they get punched in the mouth — with a financial crisis by TonyLiberty

>Don't have any money now, won't have any after the crash.

What a fantastic idea to limit volatility in your portfolio...AND.....you eliminate tail risk the danger of black swan events.

Brilliant.

suasposnte187 t1_jab1xfr wrote on February 28, 2023 at 3:24 AM

Reply to comment by sluttyseinfeld in and I wouldn't change this system for the world. by moonyou22

Im not disagreeing with you that selling naked options is asking for trouble, but I will say that the entire Tastytrade strategy is largely based on selling naked.

They call in "undefined risk"...which sounds a lot safer than "naked short option"

suasposnte187 t1_ja9p4mu wrote on February 27, 2023 at 9:37 PM

Reply to comment by Drivesabrowntruck in and I wouldn't change this system for the world. by moonyou22

suasposnte187 t1_ja9lhz9 wrote on February 27, 2023 at 9:14 PM

Reply to comment by RollTheDiceFollowYou in and I wouldn't change this system for the world. by moonyou22

They are not screwing you, they are giving you the full value of the option before the option has expired.

suasposnte187 t1_ja9j78i wrote on February 27, 2023 at 9:00 PM

Reply to and I wouldn't change this system for the world. by moonyou22

If options immediately devalued, then I would sell then buy back immediately 50,000 contracts a day from my yacht.

Fact is, yes...theta devalues short options, but the buyer has gamma in their favor , that can blow you out of the water real quick with short dated options.