Quote:
Originally Posted by PaceAdvantage
As to your last line in your last reply...the only purpose of adding stock (or calls), is to bring the trade to delta neutral at the beginning. It does not bring the max/profit loss down to $500/-$500.
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OK, I think I've got it, just a couple of things. How much stock do you add, or how many calls do you buy and how deep in the money?
Also, is the Thinkorswim software telling you when your delta comes into line? Are you aiming for the +/- 50 for delta neutrality?
[I'm using IB, and I'm sure it has that capability, I just haven't figured out how to do it yet. IB is much, much more feature rich than when I was using it ten years ago.]