$TRIT a week ago we were at 6.15. Better than being stuck there. I'm holding for a while anyways like 5 years, so I can't sell pops. Maybe I should trade it in my roth, I have 98% of my shares in my individual account.
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@FlashFrozenSushi @Figment03 @Fornarch There is also the downside though that as we get closer and closer to expiration the IV crush is harder when I'm the money. I could be up to say $10.00 if the price of trit is at $13.00. but as we get closer to expiration that could quickly drop to $8.00 even if the price doesn't change. Gotta sell in the sweet spot. But don't ask me when that is lol
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@Fornarch @Figment03 I think when you are really deep in the money, IV matters little. Most of the value of the option is intrinsic. So if TRIT was $13, your $5 calls will not be anywhere close to $15, it will be closer to $9 or 10 and that's only if you had more than a year's worth of time value/premium. $8 would be your intrinsic value so that means your time value is only $1-2, maybe not even in the real world scenario. I've run the scenario and even put 50% IV, which is unheard of, to confirm my understanding. Of course for volatile stocks that are going to zig and zag down the road, it's better to buy maybe OTM calls just to take advantage of the increased IV and resulting increased in option premium. ivolatility.com/calc/?show_...