After watching this play out way too many times, I think most option buyers go through the same phases:
Phase 1:
Manually calculates the “fair” option price.
Limit order window open. Confidence high.
Phase 2:
Option opens far below the calculated price.
Decides to wait patiently for the premium to “catch up.”
Phase 3:
Confusion kicks in—terminal lags, market depth disappears, clicks get delayed.
Frustration peaks. Market order is placed.
Phase 4:
Order executes perfectly at the bottom—
right after the seller’s entire premium has been discounted.
Rinse. Repeat. Learn. (Eventually 
)
Curious—how many of you have lived through all four phases?
