Wednesday, October 01, 2008 10:37:14 AM
...good interaction...
Posted by: ~6979~ Date: Wednesday, October 01, 2008 9:19:20 AM
In reply to: boca_bobby who wrote msg# 28072 Post # of 28083
nice straddle analysis...here is some other info that may help determine risk with straddles:(of course there are less conservative -covered calling-tactics {selling calls against stock} hence the bear bias)This is for the option only people.
Different Straddle techniques(riskiest to conservative/with a bear bias)
1)out-of-the-money-put & out-of-the-money-call
2)out-of-the-money-put & at-the-money-call
3)out-of-the-money-put & in-the-money-call
4)at-the-money-put & at-the-money-call
5)at-the-money-put & in-the-money-call
6)in-the-money-put & at-the-money-call
7)in-the-money-put & in-the-money-call
Posted by: cvcamper Date: Wednesday, October 01, 2008 9:35:37 AM
In reply to: ~6979~ who wrote msg# 28073 Post # of 28083
Can you explain to me how if you go both ways you can still make money? Wont going both ways just cancel out the profit from the other side?
Posted by: ~6979~ Date: Wednesday, October 01, 2008 10:02:07 AM
In reply to: cvcamper who wrote msg# 28074 Post # of 28083
...remember...when straddling, the key is to pick volitile stocks..If the stock has an option % potential of greater than 3-400%(sometimes more),it should be targeted.
...If one straddles,say 2k both ways.Well,one 2k gets erased and the other 2k turns into 6-8k...which is around the exact level that one conveniently cashes out...
...do you see it now?
...then you keep the .05 nothing option as a lotto freebie...which are also known to extract huge gains...it all comes down to researching volitile stocks...
Posted by: cvcamper Date: Wednesday, October 01, 2008 10:04:31 AM
In reply to: ~6979~ who wrote msg# 28076 Post # of 28083
what is the best way of finding those options with that potential?
Posted by: ~6979~ Date: Wednesday, October 01, 2008 10:12:16 AM
In reply to: cvcamper who wrote msg# 28077 Post # of 28083
...study...study...study...practice...practice...practice...
...find real traders & scrutinize them...
...focus on the teachers because the teachings are excellent...
...but,also focus on the traders that are doing-because history repeats itself quite often...
...when it comes to charting,sometimes there is much to be desired...
...but,when it comes to options strategies one does not have to reinvent the wheel...the wheel works...gl...
Posted by: ~6979~ Date: Wednesday, October 01, 2008 9:19:20 AM
In reply to: boca_bobby who wrote msg# 28072 Post # of 28083
nice straddle analysis...here is some other info that may help determine risk with straddles:(of course there are less conservative -covered calling-tactics {selling calls against stock} hence the bear bias)This is for the option only people.
Different Straddle techniques(riskiest to conservative/with a bear bias)
1)out-of-the-money-put & out-of-the-money-call
2)out-of-the-money-put & at-the-money-call
3)out-of-the-money-put & in-the-money-call
4)at-the-money-put & at-the-money-call
5)at-the-money-put & in-the-money-call
6)in-the-money-put & at-the-money-call
7)in-the-money-put & in-the-money-call
Posted by: cvcamper Date: Wednesday, October 01, 2008 9:35:37 AM
In reply to: ~6979~ who wrote msg# 28073 Post # of 28083
Can you explain to me how if you go both ways you can still make money? Wont going both ways just cancel out the profit from the other side?
Posted by: ~6979~ Date: Wednesday, October 01, 2008 10:02:07 AM
In reply to: cvcamper who wrote msg# 28074 Post # of 28083
...remember...when straddling, the key is to pick volitile stocks..If the stock has an option % potential of greater than 3-400%(sometimes more),it should be targeted.
...If one straddles,say 2k both ways.Well,one 2k gets erased and the other 2k turns into 6-8k...which is around the exact level that one conveniently cashes out...
...do you see it now?
...then you keep the .05 nothing option as a lotto freebie...which are also known to extract huge gains...it all comes down to researching volitile stocks...
Posted by: cvcamper Date: Wednesday, October 01, 2008 10:04:31 AM
In reply to: ~6979~ who wrote msg# 28076 Post # of 28083
what is the best way of finding those options with that potential?
Posted by: ~6979~ Date: Wednesday, October 01, 2008 10:12:16 AM
In reply to: cvcamper who wrote msg# 28077 Post # of 28083
...study...study...study...practice...practice...practice...
...find real traders & scrutinize them...
...focus on the teachers because the teachings are excellent...
...but,also focus on the traders that are doing-because history repeats itself quite often...
...when it comes to charting,sometimes there is much to be desired...
...but,when it comes to options strategies one does not have to reinvent the wheel...the wheel works...gl...
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