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trippd6 t1_iy3ic1q wrote

Reply to comment by AramisFR in [OC] I sell options for a living. Here is a glimpse into what a typical month looks like. My October performance. by ShallowNefariousness

What you’re missing is someone sells the options to the guys at wallstreetbets. Those guys loose because they buy options. This guy is selling to them. They loose most of the time. This guy is the winner. Also this guys losses are limited. Those guys losses are not.

As someone else posted in reply, buying options is gambling. Selling is not. Well it is if not hedged. If hedged, he’s the bookie. He’s selling to the gamblers.

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danielv123 t1_iy3n0os wrote

It's like selling a spy 275p. Sure, it has almost no value, but it also has basically no risk. You'd be an idiot to buy one, but the 1c you get from selling it is a consistent win.

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trippd6 t1_iy3qbv5 wrote

Eh, bad example.

A better example is selling the call and buying a put and 250. You most likely won’t loose and when you do your losses are limited. That is why you can sell them safely. You know how much you loose if the price goes to zero. Because your loss is limited and it’s rare, you will make money.

The only way this doesn’t work is if the market goes up and down repeatedly very quickly. That won’t happen (because it will just go down and we are all hosed)

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