Trade boycott on 12th Aug!

CC is equivalent to a CSP, not a naked short put. :face_with_monocle:
A naked short put has downside risk to zero which you’re liable for within the current expiry. :arrow_down_small::spiral_calendar::money_with_wings:
CC and CSP allow you to ride out any volatility or flash crash without losing your shirt! :running_shirt_with_sash:

Isn’t a CSP the same as a short naked put as far as unrealized gain/loss is concerned ?

10% crash will of course affect your stock holdings as well. However, what you give up as an opportunity cost, future traders will pay back in higher premiums.

Of course, the PnL graph might look the same but the risk profile is different! :boomerang:
The same is true for CC and PMCC (Poor Man’s Covered Call) using futures you mentioned earlier. :eyes:

I still don’t understand why the risk is different.

I am joining this. fyi.

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The risk is different because:

  • Without the full capital to control the underlying you’re operating with leverage. And leverage cuts both ways! :hocho::butter:
  • The market can stay irrational longer than you can stay solvent! 🫨
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I agree, risk ‘feels’ different in Futures. But there are also plenty that dont want to keep churning their portfolio (that also has plenty in liquidcase) and instead use Futures to sell CC at more or less 1:1 in terms of intended cash mkt sizing. It also helps be more nimble and hunt short term CC strategies in more stocks that way…

Holding stock protects your money cost (most of the time) and mindset/peace but incurs opportunity cost, holding fut does the opposite. The former is safer for most :slight_smile:

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How about replying other points on quarterly results? And voting rights for retail people .

So you guys are not trading today?


I didn’t join. Successful take 4 scalping trade and kill switch activated at 9:50 am. If everyone boicotting then why market moving.

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YOU SCALP OPTION CONTRACTS?! :scream:

What’s your average lot size and target in points(BNF)?

what strategy do you use? I am honestly shocked because Ive never seen any option scalper in my life. :joy: LMAO.