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Take ER for a minute; just before the announcement the stock is trading at $50 and then the news comes out. $50 stock drops to $45. Your puts vol may drop for a few moments only, then the vol starts to escalate and the further the stock drops the higher the vol. And if you're unfortunate enough...

Check out "long put synthetic straddles". It more or less neutralizes the vol crush. If anything you want some vol, because you're looking for movement. Works best with the puts of the underlying at $1 increments, must be liquid, and keep the spread between the bid/ask below 4%. Go out between...

…or go short no matter how good the news is!:D

April 30th

Great point. Found this article from 2010 in G&M http://www.theglobeandmail.com/report-on-business/rob-commentary/ontario-like-california-going-for-broke/article1378433/ that tells the sad truth.

I'd be thrilled if Ontario brought in re-call legislation before the place goes bankrupt.

I'm in my 4th year full-time swing trading, and went through the same thing. I lost a lot of money from March to September of last year, and was actually going to pack it in and go back to long term investing which I had done very well at for 7+ years. Best advice I got, stop trading until you...

Not sure what fundamentals you're looking at, but here's their most recent cash flow statement, and this is what I call a disaster. A fool and his money is soon parted.

IMO you need to know your potential losses on every trade, and keep them to a minimum. You don't mention put options, I'm assuming you have stop losses on your selections. In a very short answer, any specific reason for those eight securties? Since you're buying stocks here's an article...

Got yelled at for this very reason when I was a kid, so today I'm kind of adverse to putting holes in the wall. I'd look around for a light weight adjustable stand. I'm cable tv free, (internet is through cable) just using OTA, and get everything I need for free. Just can't see myself paying...

This might help you: the weekly rig count http://www.wtrg.com/rotaryrigs.html and the weekly oil supply http://www.eia.gov/dnav/pet/pet_stoc_wstk_dcu_nus_w.htm

O, I forgot to add, the bid ask spread, you know slippage, has become my Achilles heel. Would like to see that regulated some how.:banghead:

Jeff Augen wrote a book that explains the pre earnings concept. I tried it a few times, but found theta was too severe. Plus, carrying anything over the weekend, too grinding for me. I find playing selective earnings, like small cap or the lower end mid cap, vol relatively in line with...

I agree, probably could have used the term diversify with very strong emphasis, just in case things start to go awry.

Assuming you know financial statements inside and out, IMHO, if you're a conservative type, find 4 blue chip companies, with a respectable payout ratio, paying monthly dividends, and, carefully average down if the opportunity arises.:cool:

It can be done. An empirical study was done on straddles and strangles by Ping Zhou and John Shon which laid out the probabilities. You have to ferret out anomalies like, distorted P/E's, P/S's etc or bloated short ratios. Just something that will possibly indicate the earnings will go crazy...

Here is definitive meaning of theta from Investopedia. Maybe this will help.

IMO, it doesn't matter how many contracts he buys, the theta is -.64 off the option price per day, escalates as it gets closer to expiry. Quantity has nothing to do with it. He could buy one contract or a thousand, he still loses -.64 in theta per day off the option price. If he starts...

Not sure why you're multiplying by 100. The "theta" shown on the chart is -.6440, which = in theory, the option price will drop .64 (64 cents) per day.

Biggest mistake I made in 2015 was somehow believing oil would bounce back. Respected oilman Dan Dicker sure had me fooled. My comfort philosophy, "first mistake is a lesson, second mistake is stupidity".:wtf: