Posted by sschulman on 6th of Feb 2018 at 11:43 am
So many ways to lose money when volatility soars! I went short
some April 2000 ES puts. Sold them for a couple of dollars.
They were uncovered but I thought hey, if ES drops a few hundred
points they'll still be out of the money and I'll have plenty of
cushion. Those puts went to up $70!!! I found myself in a margin
call!! Difficult night. Hard lesson learned.
Newsletter
Subscribe to our email list for regular free market updates
as well as a chance to get coupons!
So many ways to lose
Posted by sschulman on 6th of Feb 2018 at 11:43 am
So many ways to lose money when volatility soars! I went short some April 2000 ES puts. Sold them for a couple of dollars. They were uncovered but I thought hey, if ES drops a few hundred points they'll still be out of the money and I'll have plenty of cushion. Those puts went to up $70!!! I found myself in a margin call!! Difficult night. Hard lesson learned.