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Re: Duma post# 22806

Monday, 03/22/2021 6:56:40 PM

Monday, March 22, 2021 6:56:40 PM

Post# of 31313
I am a silent observer and curious if my understanding is correct.

I have been using the same strategy for weekly, however, instead of buying a deep ITM call, I usually do credit put spread? the numbers are almost same if you look at the reward in both the situation.
ITM option do come with assignment risk however i can see less margin is needed to do ITM debit spread whereas by doing credit put spread the margin requirement will be slightly higher(equal to the spread) but with significantly lower assignment risk.
Am I missing something here?

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