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Suggestion to recover from a bad naked call

Per Hart's catch, I missed that this call expires in Jan of 2026 so this is an edit: If the expiration was earlier, about the only realistic thing that you could do would be to roll the short call ...
Bob Baerker's user avatar
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1 vote

Suggestion to recover from a bad naked call

One usually takes a loss. You chose to play with options, knowing that the risk existed. All you can do at this point is learn from the experience. (Options are amplifiers of both gain and loss. Their ...
keshlam's user avatar
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1 vote
Accepted

Can you effectively reduce the cost of a long call on an index with a synthetic long and married put (e.g. replicate an XSP call using SPX options)?

Your "synthetic synthetic call" is just equivalent to a plain SPX call (at the strike of your long put). It does not succeed in "scaling down" to the equivalent of an XSP call. So ...
nanoman's user avatar
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