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Reply To: Scaling Calendars in IBM

Home › Forums › Income Trades › Scaling Calendars in IBM › Reply To: Scaling Calendars in IBM

May 12, 2015 at 7:48 am #2063
Steven Place
Keymaster

Hi Edwin,

Put calendars work better if a stock starts in an uptrend… because these options will go out of the money and will be easier to close.

Also with call calendars… if a stock has a dividend coming up and you have short options that are in the money, you can see early assignment. Which isn’t fun, so I normally avoid using call calendars.

The greeks are basically the same but it comes down to assignment and executions.

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