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Old 10-12-2007, 02:37 PM
soko soko is offline
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Join Date: Nov 2004
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Default Re: The Ultimate Leverage Investment Thread

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i still think there must be a way to use this. say you have a big announcement which will lead to share ending +30% or -30%. if you put a guarenteed stop loss at -10% say, then you either are +30% or -10% i.e. ev of 10% profit.

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How is this guaranteed? Guarantees are never free.

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It's not and his assumption is absurd. There is no way you can determine that an announcement will give a 50-50 shot at either going up 30% or down 30%.
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