redrabbit

robertm: Cool. I didn't thought of that. dugdug: I have just begun to look into equivalent positions, I'm grateful that you mentioned it. I could probably save some cost. Anyone using the analysis tab of TOS? Any ideas on how to use the probability analysis to your edge?

Hi. Thanks everyone for commenting. I have experience in trading forex and so I'm not entirely new in trading, risk management and margin. I just want to inform that I know a lot of the stuff being shared in the posts, so that future posters will have a rough idea of where my level is. I fully understand that option trading is risky, as with forex. Now I only need to figure out the technicalities involved when I'm actually trading live. And the remaining things that I need to get a grip on would be greeks, black-scholes, volatilities and adjustments on corporate actions (I believe a lot of newbies miss that). My current thinking is forex trading is mere speculation. I have some positive results, but definitely not something I consider to be consistent enough that I would entrust it to my future. I haven't entirely given up on forex, but I figure out I would be better off start accumulating assets like stocks. I intend to use options to sell put of the stock that I intend to collect. And possibly selling covered call for income. That's pretty much it. I don't intend to involve in volatility play as I'm still not pro enough, and also it doesn't fit my investment criteria of accumulating asset. I wonder if there is anyone here in a similar situation as me?

Hi. I am very new to options, at least in the sense that I haven't actually traded live with options. I've been hanging around forums but until now I still cannot find a sticky thread where all newbies should read before doing anything. I start this thread to ask some basic questions and would encourage anyone new to ask questions here too. Ok, here's the questions: 1) If I sell options, do I get the premium credited to my account instantly? Or does this depend on broker, eg some brokers may use the premium collected to offset the required margin? 2) If I sell options, and later on I suspect my trade will go bad, can I buy back at the same strike price to cancel the overall position?