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Jims., that setup for a pseudo - PREM doesn't work i set up GLOBEX:@ESH6 in a portfolio above CBOE:$SPX quantity of each is 1 current value: ES 1277.5 current value: $SPX 1276.39 when i chart the "total" it shows up as -20 which is the total of the changes for both items it...

options are zero sum period within the options universe, the net position is necessarily zero it's a matter of math one can make great money in options, and they can be used to speculate, hedge, or provide income but they are zero sum the system is closed, and each position has...

thanks man! and btw, to add a point here, i think economists (and PhD's and MD's etc.) are probably less likely to succeed in trading because of ego/hubris than probably the average joe. most traders don't fail because of lack of analytical ability (imo), they fail because of poor risk...

TRADERS (vs. investors) are not generally trading stocks, futures, or whatever they are trading OTHER traders. Investing is different. In investing, you can take a Buffet/Graham approach, a lynchian approach etc. and make $$$. In TRADING (short term basis) fundamentals are mostly...

i completely agree with the ETF as practice strategy papertrading is great, but since it doesn't involve emotions, it's not realistic by trading ETF's at $1 per point (for DIA per 100 shares), you still get the emotional involvement, you still get slippage and fills realistically, and you...

that statement about risk is absolutely true, and pro traders treat this as a business amateurs think "how much (more) can i win/get out of this trade" pros think "how do i protect my capital" first, people learn how to lose money in the market then, they learn how not to lose money...

the very first line of the first post shows an amazing bias, and a complete misunderstanding of economics. i quote "top 1% of the families takes 1/3 of US's wealth... while the bottom 50% take only 2.5%....." the word: TAKE the top 1% hasn't taken the wealth because wealth is CREATED...

Jims82, Wow. it looks like it will work i won't know for SURE until the cash index is open so i can chart it. right now, cash is closed. but very cool thanks again

you still don't get it it does not matter if it is auction or electronic these contracts are transferred all they are is agreements. with a price agreed upon by both sides. there are necessarily two holders of every future contract. one person MUST be short for every person who is...

"I would add that options and futures are less than zero sum. They are zero sum minus spread minus commissions" you are right about the commissions, but not the spread because for every person who loses the spread, somebody else makes it. the spread can work FOR you or against you. but...

also... in general - strong market moves are caused when the market HAS to move. in general, markets move when these things happen strong bears mean lots of shorts and puts. when their stops start getting hit, and ESPECIALLY margin call liquidations, that 's when markets really move -...

forbes is a contrarian indicator

for pete's sake maybe the problem was the term "seller" . substitute WRITER necessarily, the net gain in an options contract = the net loss if it doesn't please explain how? it cannot. that is basic math this is a completely different structure than the stock market as soon as...

the reason some people care is that it helps to understand the underlying nature of the instruments u trade, market structure, etc. you don't HAVE to , in the same way you odn't have to understand how an internal combustion engine works, or even that there is one under the hood, to drive a...

i get so tired of people with NO knowledge of game theory arguing against the zero sum game reality just because they don't understand what the term means, and they think it's pejorative, therefore, options can't be zero sum it is this simple. options are zero sum within the options...

<golf clap>

all i can say is these people who think stocks ARE zero sum and.or futures are NOT zero sum should really pick up a book on game theory it is not that complex, but it is somehwat counterintuitive

there is no "best way" there is a way, that within YOUR system, YOUR trading methodology, and YOUR risk tolerance, and YOUR risk/reward setups, works. obviously the BEST exit is when you exit a long at the top, and a short at the bottom that is also an impossibility. so get over it :)...

at a minimum it is good to know when the news reports are, etc. so you can decide NOT to be in the market because that immediate impact can totally invalidate any other signal you are using. if you are scalp shorting YM because of xyz reason (tick hook combined with fib resistance and some tape...

somebody fire up the Bitrend Translator (tm)