Question about Option Greeks
So I've never trade options before so I'm trying to grasp an understanding and hoping someone can help me out here. On the below screenshot, this contract is trading .0310 bid @ 0.050...
So if I buy a call, I know I will be paying theta -2.057 each day. I spoke to a vol trader within my firm and he told me options bleed theta through out the day. So if I buy a call now and four hours later, all else being equal, the contract will lose premium due to theta bleed. But if the market is trading .0310 bid @ 0.050, how can the theta be -2.057... Let's say my theo was correct, 0.0281, does this mean the theo will be 0.0281 - 2.057? That can't be right. That means the option has no extrinsic value. Can someone explain?
Sorry what I meant to say was if I lift the offer... would the value of the option, again, all else being equal, be the price I executed at minus the theta, tomorrow?
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