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Strategies & Market Trends : Option Strategies

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To: randpaul who wrote (1877)6/8/2017 7:24:54 PM
From: John Pitera  Read Replies (1) of 2591
 
Hi rand,

Robert always has super sound advice...... my thought is that the VIX and implied volatility has been low for a statistically long period of time and the CEO of Interactive brokers has commented for the second time in the past 2 months that in his opinion, which I concur with you have a limited time window.... and you'll find it will be hard to get past Q3 without a volatility raising event that will make you wonder why you were writing those covered calls....

The 7th year of the decennial pattern where the market has been this strong makes a good sized check back
pretty darn likely.

anyone correct me if I am wrong.... does it not continue to be the case the the premium decay is greatest in the 45 days prior to expiration?

We can revisit this post in October and it'll probably make a lot more sense... what I'm saying.....

John
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