The December 2019 expiry is what will allow the oppies to follow a similar pattern to the heads when trading. Longer the expiry date, the closer the price between the 2 will be.
Again, I have options in another stock which are also long-dated to mid-2019 and it's regularly been trading at a discount, particularly when the heads have moved fast. Right now it has no premium whatsoever. So whilst I agree what you say CAN happen, it's not guaranteed to happen. There is risk in being able to trade out of an oppie position unless you are only trading very small quantities.
You had more liquidity on DDDO yesterday
Disagree. For dollar value and what you could buy or sell at any given time, DDD had more liquidity. If you look historically you will see far more liquidity in fpo. In the last month for example, fpo shares traded has been over 56mill valued at approx $225K. Oppies in the same period, 21mill worth $42K. The reason for liquidity is simple, one there are 5 times more fpo shares than oppies, 2. far less investors trade or invest in oppies.
Oppies may not be for you makattack, with some of the points that worry you but for many people, oppies are a way of more leverage and better return.
As I said I am interested in oppies at the right price and for the right return. At .3c oppies and .5c fpo, it's fpo for me, and for majority of investors based on past volumes.
And, in return, all the best with your holdings. If DDD rises significantly then you will win regardless of which stock you hold.
DDD Price at posting:
0.5¢ Sentiment: None Disclosure: Held