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I think that your analysis of your choices is pretty well on track. I don't blame you for getting out of the situation at an 8% loss. I also wouldn't recommend right now getting into any calls because of the obvious resistence that we will see on HXL at the $20 mark. If it blows through that...

I may be wrong because I haven't really used it. But won't the MSN money deluxe stock screener do something that simple?

The question is, why would someone play straddles/strangles? The answer is because you can count on something more predictable than directional movement, VOLATILITY. Volatility is generally more predictable and you are merely chasing the change in delta. No matter which way the stock goes...

Actually, I was talking about credit spreads. That is why I made a statement before that risk is all in how you look at it. If you are using software to get probability for profit then it likely will not give you a truly accurate number. The number it gives you will likely be the probability...

Typo ROI=ROE

From your posts that I have read, I believe your intentions are soundly based. I also don't think you are merely trying to get rich quick. If you are, then options aren't for you because the "blowout" is inevitable. Greedy options traders always have a stretch of good trades followed...

By the way Neoxx, I forgot a couple things. If you use your system for picking stocks, absolutely don't get into straddles/strangles! You will lose money faster than you can think. Not saying that they aren't good strategies, just that they require completely different setups. I agree with...

Sounds like for what you are doing, 10% allocation to each position is fine. You might have noticed that 10% loss of that 10% happens in a hurry when the support or resistance is broken. Do you use any particular type of reversal strategy or just simply cut your losses and find another. I...

After quite a few big losses and a number of different strategies over the years, I settled into using mainly vertical spreads. There are many reasons for this, but some simple advantages of spreads are: -built in stop loss that can't be hurt by a gapping equity. -very defined P/L ratios...

I don't use IB, but I can give you some opinion on your questions. I would first offer a word of caution with options. They are more illiquid than the underlying and therefore your stop could be missed as a result of a big move in the underlying. Trailing stops help to solve this a little...

Always interesting when the market make a big run based on the FOMC minutes. To me the minutes are old news. Still waiting for the next FOMC interest rate decision to decide on my COF position. Smallfill, How you making out on XTO? Bullish plays are lovin it today.

PFE has to close above $25 for a couple days for me to get excited about it. Same story with MRK only it needs to break $35. Many would say that by then I've missed the best part. I would say by then I have confirmed the bullish trend and there is still much more money to be made, and a lot...

Star, I'm not trying to bag on OptionsXpress. They too have a great platform. I personally still like TOS better, but my point was that there are some brokers specializing in options that provide much of the information he was asking about free of charge. I would say though that if anyone...

Rob on Business, I forgot to answer your questions. I forgot if you mentioned who you trade with. I use ThinkOrSwim. I've used others but TOS is by far the best for options. Anyway, you can find a lot of that stuff on their platform, and best of all it's $FREE.99 which is my favorite...

Well, went on vacation for a week. Still on vacation but figured I would post a short message. Rob, In regards to the 50MA. It is difficult to use it as a one or two day directional indicator. A lot of institutions use it as a buy/sell point for core (positional) trades. Some companies...

Rob on Business, At the risk of a slightly long post I will give you a little insight into how I trade. Understand that there are many different ways to attempt to forcast stock movement. You can decide for yourself to agree or disagree with my methodology. I've been in your shoes and I've...

I can't really give you a read on UARM. Not really my kind of play. In regards to DNA. Two great setups in Oct. that I wish I had known about. Hindsight I guess. Right now I think they are gonna see a lot of resistance at about $95. If I was long calls, I would be cautious if it drops...

I should clarify my positions a bit. DJX- I am on a bear call spread. Yesterday the dow tried to show some strength due to the GDP but lost most of that strength. A trend that I think will continue into January. COF- I am in a bear call spread on that one too, however the other day it...

I trade with ThinkorSwim for options trading, but not because they are the cheapest. They definitely aren't the cheapest. I switched to them because they have proven to me to be the best at getting my orders filled quickly at the best price and because their platform is great. Having...

Good job on you trading. That is the part I wish I didn't have to give up by doing spread trades, those great trades that end up making a couple hundred percent. Oh well, I figure I have been doing well enough this way that I had better give it some time to see how it compares to my past...