Thread: Are naked calls/puts insanely +EV? What am I missing here?
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Old 08-17-2007, 01:06 AM
whitelime whitelime is offline
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Default Re: Are naked calls/puts insanely +EV? What am I missing here?
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I don't know anything about options but as a guess I'd say there are some aspects of the stock that would be impossible to compute mathmatically that are priced into the options.

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The formula is only theoretical but I want to know why it's always pricing the options lower than they are trading for.
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