options trading is like crack
 

Man, you guys gotta get into that stuff. The swings are totally ridiculous. I bought two last week and each is up over 50% in that time. One is a long dated put option (jan 09) on crocs which got destroyed, so that explains the pretty huge move. The other is a short term very out of the money put on the SP500 for dec 22nd. Since the drop yesterday it took off.

Because these things are so volatile you really can only put a small portion of your portfolio into any position. If you like to hold it until maturity you will probably get nothing most of the time with the periodic huge scores. It makes poker swings look like nothing. And its alot of fun to see your hunches work out!

Re: options trading is like crack
 

[x] two things

Re: options trading is like crack
 

ok ... but isnt trading with $ like gambling with playmoney ?

Re: options trading is like crack
 

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ok ... but isnt trading with $ like gambling with playmoney ?

[/ QUOTE ]

Ya, use a real currency.

Re: options trading is like crack
 

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ok ... but isnt trading with $ like gambling with playmoney ?

[/ QUOTE ]

Ya, use a real currency.

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Oooh, snap.

Re: options trading is like crack
 

What, in case poker isn't degen enough?!?!? Also,

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One is a long dated put option (jan 09) on crocs which got destroyed

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http://blogs.cocoondev.org/crafterm/.../crocodile.png

Re: options trading is like crack
 

if u like crack u should try heroine...it's a degens dream

Re: options trading is like crack
 

i agree with ahnuld, i get 3 breaks during work and i can check the internet (not 2+2 though...boo...)

yesterday i dropped $6k, today up $4k, overall last 4 weeks or so up $11k, ill probs end out busto but it really is good fun.

problem is whenever a position goes wrong you wish you hadn't done it, whenever it goes right you wish you'd put more on.

Re: options trading is like crack
 

I tried it a couple of times and went busto each time. Never again (hopefully).

Re: options trading is like crack
 

buying options is for pansies, if you really want to take on risk -- sell puts.

Re: options trading is like crack
 

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buying options is for pansies, if you really want to take on risk -- sell puts.

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oooh, thats like crack/heroin/valium cocktail?

Re: options trading is like crack
 

Man I wouldn't be able to sleep if I had any cash in these things.

Re: options trading is like crack
 

Keeping an option overnight is a good way to go busto or you could end up a huge winner as well. If you want to aviod the crazy swings, ditch before the end of the day that way you don`t wake up the next day [censored] in the ass.

Re: options trading is like crack
 

or buy really long term options based on an informed opinion

Re: options trading is like crack
 

ahnuld (and all others), I have no idea about anything like this, but may be interested in this crack options malarky. Can someone give me a link to a beginners guide or sth?

Re: options trading is like crack
 

www.CBOE.com

more specifically: http://www.cboe.com/LearnCenter/OptionsInstitute1.aspx

Re: options trading is like crack
 

Cheers DrNo.

Re: options trading is like crack
 

Sports betting is better imo

Re: options trading is like crack
 

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buying options is for pansies, if you really want to take on risk -- sell puts.

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Selling puts is for pufts, if you really want to eat risk -- trade currency futures and credit derivatives.

Re: options trading is like crack
 

you appear to have a firm grasp on both options and trading

Re: options trading is like crack
 

Carrying out FX trades based on technical analysis is pretty interesting [img]/images/graemlins/smile.gif[/img]

Re: options trading is like crack
 

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ok ... but isnt trading with $ like gambling with playmoney ?

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I don't know why, but I lol'd at this.

Re: options trading is like crack
 

you bet on shoes?

Re: options trading is like crack
 

MBS anyone?
shortsell puts? or pretty much anything
what should be a lot of fun right now is shortselling google
leverage your money as much as you can
and go big or go home lol

Re: options trading is like crack
 

I remember 6 and a half years ago a friend told me google was the future and I laughed at him cause of the name.

Re: options trading is like crack
 

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Crack trading is an option

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FYTitle

Re: options trading is like crack
 

[ QUOTE ]
i agree with ahnuld, i get 3 breaks during work and i can check the internet (not 2+2 though...boo...)

yesterday i dropped $6k, today up $4k, overall last 4 weeks or so up $11k, ill probs end out busto but it really is good fun.

problem is whenever a position goes wrong you wish you hadn't done it, whenever it goes right you wish you'd put more on.

[/ QUOTE ]

so it's like sports betting...

Re: options trading is like crack
 

Where does one's edge come from in options trading?

Re: options trading is like crack
 

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Where does one's edge come from in options trading?

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delta

Re: options trading is like crack
 

Buying straight calls/puts is considered the riskiest strategies. You're dealing with multiple factors working against you, picking right direction, time decay, volatility, etc.

Smart people sell or spread options.

One thing I will say options have some of the most colorful monikers. Iron Condors, Butterflies, Vertical Spreads, Bull Put Spread, Bear Call Spread, etc.

Re: options trading is like crack
 

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Where does one's edge come from in options trading?

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delta

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A+

Re: options trading is like crack
 

teach me options trading plz

Re: options trading is like crack
 

graph or it didn't happen

Re: options trading is like crack
 

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Where does one's edge come from in options trading?

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id like to know some kind of serious answer to this too.

Re: options trading is like crack
 

[ QUOTE ]
[ QUOTE ]
Where does one's edge come from in options trading?

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id like to know some kind of serious answer to this too.

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nits.. so wait you can gamble on [censored] like this!??!?!

Re: options trading is like crack
 

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Where does one's edge come from in options trading?

[/ QUOTE ]

Doesn't matter, you can't beat the rake at low limits.

Re: options trading is like crack
 

[ QUOTE ]
Where does one's edge come from in options trading?

[/ QUOTE ]

zero sum game, except for trading costs. Edgue comes if you have a hunch or a beter idea of the total picture than someone else longterm. Do a search for desertcat's thread in BFI on buying Krispy Kreme puts from last year if you want to see a better description

Re: options trading is like crack
 

[ QUOTE ]
[ QUOTE ]
Where does one's edge come from in options trading?

[/ QUOTE ]
id like to know some kind of serious answer to this too.

[/ QUOTE ]
You either got insider information or you are lucky. institutional investors that trade in high volumes can [censored] you in the ass at any given time on any market. And when you are not in the loop and perfectly informed about everything, you will be too late very often and end up at the bitter end. I don't think that daytrading etc. is something that individuals should get involved in unless they use their spending money.

Re: options trading is like crack
 

genz, you sound like you really dont know what you are talking about but tried to use buzzwords to pretend like you did

Re: options trading is like crack
 

Daytrading is not somewhere you should start if you don't have a clue about investments.