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I think it is more important to understand the concept than to argue the semantics of zero-sum vs negative expectation. By the zero-sum definition given, horse race wagering is also a zero-sum game but anyone that knows anything about how a parimutuel works realizes that the house takes...

What would you like to discuss? As far as your comments above, let me expand. Trading on paper is a good thing but it can also be a bad thing. Trading on paper can give you the delusion that you "got" it. But trading on paper is nothing like the real thing. Until one places a real...

What is your definition of "repair"? Joe.

Scam might be too harsh. Yes, there are definitely scams out there but I think some of them truly try to offer a service. I just don't think the services are that valuable. IMO you are better off doing your own research and tailoring your own "service" to suit your personality. Joe.

It can be both. An edge can be created by skill (as defined by you and many more not defined). In addition, as already descirbed an edge can exist that requires no skill on one's part. I try to create an edge by using statistical analysis. I assume my methodology is what you would define...

Orlando Florida. $1,000 per month will get you something very nice. Major airport close by and a large British population in the Davenport/Clermont area near Orlando. Joe.

"Well, investopedia is wrong...you can't just 'exclude' costs" I agree, options is a negative-expectation "game" due to the costs (of course, except for market-makers!). Joe.

"I take it you never put your cock in a woman's mouth either...since that doesn't produce babies, just gagging..." If it produces gagging, you are doing it wrong! Joe. :)

"These spreads work better with short time to expiration and a July spread might have worked better" Thank you for the replies. Can you give me an example of the above with a discussion of the theta compared to my trade? Joe.

MTE, Would you have a different opinion if you believed that the price of LEH was going to increase in the near term? Can you give me an idea of how much theta you would require for a trade 45 days til exp. Joe.

You didn't give any details about the girl but maybe she thinks that it won't hurt anymore when she reaches puberty. Joe. :)

"I think the road to recovery is nearly complete for me." Apparentely you fell off the wagon! Joe.

Yesterday (6/14/07) I executed the following order: (LEH - Lehman Bros) Sold 3 LEH Oct 75 puts Bought 3 LEH Oct 70 puts for a credit of $1.35 What do you think of it good or bad and/or what would you have done differently and why? In addition, now that the trade is in place, what...

This does not give him the safety of principal that he is looking for. In addition, what makes a naked put (covered call) relatively safe? :eek: Joe. :)

MTE gave you a good idea. IE. a $19.5K 6 month CD will give you $20K at maturity. You can then use the $500. to buy puts or calls. If you are correct in your selection of puts and/or calls you have an additional return. If the puts and/or calls expire worthless in 6 mos., you still have...

As in a previous post, married puts and collars could possibly meet your criteria. However, the returns over time would probably be close to CD rates. There is a possibility for more but also a possibility for less of a return. Considering the dollar amount and the time, effort and learning...

Hiccup

The credit is yours to keep. So in your example, you lose $2 in the exercise but you collected $2 in premium for a net of $0. (less commissions). As already pointed out, an options contract is for 100 shares. Joe.

While I agree with your sentiment, why the disparaging remark which just cheapens your message? Joe.

Consider the source! Joe.