Hello together,
opened up a diagonal spread on Nvidia for ER.
BTO 1x 5/31 $950c
STO 1x 5/24 $955c
obviously the both calls are going to be deep itm at open –
planned on letting time decay work and close it tomorrow through the day.
how big of a risk is there with early assignment?
also if assignment happens will IBKR just automatically close the spread / exercise the long option or will i then have a short -100 shares position and the remaining long call?
since i dont have the 95k in account to deliver the shares – i know i should have thought about this beforehand
NVIDIA Diagonal Spread – early assignment risk of short call
byu/Illustrious_Way_5974 inoptions
Posted by Illustrious_Way_5974