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Strategies & Market Trends : Option Strategies

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From: Jim P.10/29/2016 8:19:35 PM
   of 2591
 
I upgraded the option trading level in one of my IRA's at Schwab to level 2. Allows option spreads and limited margin. Basically you will come up with cash if needed to cover assignment or short securities or Schwab will close out your position and any "Margin" becomes a taxable event.
A few issues around early assignment and cash levels on the day before expiration but it looks like I can find a way to make some money with calendar spreads.
Ken Reel had a very good article on seeking alpha.

seekingalpha.com

At the time of the article Schwab did not allow this in an IRA.

Jim
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