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Never heard of LEAPs, will read in-depth about it! Thanks.

• tatrajim 3y ago
  If you do delve into the beguiling world of options, so full of snares and pitfalls, at some point take the time to learn how option market making works behind the scenes. This will help provide a more seasoned understanding of why the price action of of stocks in advance of LEAP expiration (the 3rd Friday in January each year) exhibits apparently irrational behavior (often major drops, like AAPL recently) and can prove invaluable, e.g. in understanding why holding through expiration is normally foolish. Additionally, a comprehension of the role of volatility in option pricing (part of the Black-Scholes formula) is crucial, often decisive. Enjoy the journey.
  • dt3ft 3y ago
    Thanks for the heads up! I’m not in it for the money, more to try and understand how this works, so I’ll sure be reading a lot before I make the first step.
    • tatrajim 3y ago
      Good, neither was I. Just a fascinating hobby that accidentally brought wealth.