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  1. M

    thinkorswim charting?

    Thanks. That is a nice feature. Just wish I had known that before.
  2. M

    thinkorswim charting?

    In the chart setup window there are setting up to 20 year charts...I would assume that data is subject to availability. The longest term I have personally ever looked at was a 3yr chart and I have been able to get all of those that I looked for.
  3. M

    Using implied volatility for beginners

    Read my posts in <a href="http://www.elitetrader.com/vb/showthread.php?s=&postid=1865485#post1865485">this thread</a> ...especially the last 3 posts I explain implied volatility, Vega, how it affects option prices, show a chart and provide a resource to obtain your own volatility charts.
  4. M

    noob questions, help a brotha out

    Oh when looking at these volatility charts don't forget about your greek friend Vega. If the volatility is high you can bet your friend Vega has the option price jacked up a bit. This isn't too big of an issue as long as volatility stays the same or gets higher during your trade assuming you...
  5. M

    noob questions, help a brotha out

    Sign up for a free account at <a href="http://www.ivolatility.com">www.ivolatility.com</a> then look up whatever equity you are planning to trade. This is the volatility of the STOCK. Below is the 1yr volatility chart for RIMM notice that it's average looks to be about 50% and it's current is...
  6. M

    I'm FULLY CONVINCED that the market has finally recovered

    I wouldn't say that just yet. Looking at the S&P chart below we need to break out of the channel to the upside before I'd call it a recovery. Considering this is pretty close to all the broad market charts I'd say we still have a bit to go to call it a bull market again. I am not saying that...
  7. M

    noob questions, help a brotha out

    In a very rudimentary theory yes the option would then be worth $1.50. However to really understand what will happen to an option you really need to understand all of the Greeks (of which Delta and Theta are the two most important: Delta: This is the amount the options price will move as the...
  8. M

    Buying PUTS on VISA

    If I was going to do anything with Visa options it would be buy a semi-long term straddle position or selling a short term straddle with about a 62.50 Strike. The truth of this stock is it's "all time" (it's only been trading for 9 days) high and low were on the same day...opening day. There is...
  9. M

    Trading the Moon

    Where is the moon indicator on those last 2 charts?
  10. M

    thinkorswim charting?

    Yes I was referring to the dashboard. I didn't even notice that option, thanks. That should definitely make things easier for mad_badger to day trade with TOS. If he still needs single press hot keys he might consider an <a href="http://www.xkeys.com/xkeys.php">X-Keys</a> programmable...
  11. M

    thinkorswim charting?

    Before you give up just yet, try this: On the left hand side of the ToS platform you should see a button called "Gadgets". Click that and select "Dashboard". Enter in the ticker and the default amount you want to trade. Now you can single click buy/sell all day long. It's not hot keyed...yet...
  12. M

    noob questions, help a brotha out

    Thats EXACTLY right. When you see a contract for $8.95 thats a per share premium. So to actually buy that contract you need $895.00.
  13. M

    noob questions, help a brotha out

    Well if you bought 40 Puts, you would effectively be long 2000 shares and short w/options 4000 shares. This would make your P/L graph look like a soup bowl with break even points around $112.70, and $123.36. As long as the stock was OUTSIDE of that range you would make money and you would lose...
  14. M

    noob questions, help a brotha out

    In your case the average price per share of your 2000 RIMM shares is $119.24. The current price is $117.48. This means you are already down $1.76/share. If you buy the 120 Puts (currently listed at $8.95 per share) you will immediately be $8.19 in the hole. Which means the stock would need to...
  15. M

    noob questions, help a brotha out

    Buying protective puts is never profitable. This is done for the same reason as buying an insurance policy on your car. To protect you from loss. The short answer to your question is NO. The Delta on the 120 Puts is -.48 which means your options will only improve in value by $0.48 for every...
  16. M

    noob questions, help a brotha out

    One more thing to add on the Collar idea. If you would be happy selling the stock at the $67.50 you could write the covered call as a longer term contract and net a higher premium. For instance if you went out to the June time frame (assuming you plan on holding the stock that long) you could...
  17. M

    noob questions, help a brotha out

    First off option strikes are usually in $2.50 or $5 increments. For instance right now Visa (V) has the following strikes available for April expiration: 45, 50, 55, 57.50, 60, 62.50, 65, 67.50, 70, 72.50, and 75 (there might be more above 75 or below 45 but no more in between). This means...
  18. M

    noob questions, help a brotha out

    Most people that trade options use spreads. However there are a lot that use the options leveraging and trade single options in lieu of stock. Of the people that trade options in lieu of stock most of those will tell you go deep in the money to get a delta of 1. Meaning the option value move $1...
  19. M

    Bulls are back- enough of this doom & gloom

    I view the chart a bit differently. to me we are in a down trending channel and cannot move into a bull market until the upper channel boundary is broken. <img src="http://www.fantasydaytraders.com/eqpics/SP1yr.jpg">
  20. M

    Bulls are back- enough of this doom & gloom

    Not at my expense. I am making money no matter which way the market goes or even if it sits still. That's the power of options.
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