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I guess we just disagree. If the newb doesn't know what additional legs they can or should add or remove and when, what else will happen when they short say a 3 month straddle and the underlying moves against them rapidly?

Lol no I am not the 6yr old. I am not the X-games pro either. I am more like the parent that knows how to ride a bike quite well and can teach others to ride but not all the advanced tricks. That I will leave to you. I still say telling noobs to take much longer term short straddle postions will...

If you are not advanced enough to know about all the rolling and repair strategies then selling straddles on longer timeframes gives the unerlying more time to move out of your profit range. I can't imagine an X-Games pro biker trying to teach a 6yr old thats just learning to ride a bike arieal...

I understand about synthetic straddles but wasn't going to try and cover every possible trade and all it's synthetics in a single post. Also I never said that volatilty couldn't or wouldn't move higher with the price. I said that "selling a straddle is more profitable WHEN volatility is high and...

This wasn't a response to the OP but the the person I quoted.

Yep and his name is Ben Bernanke. Bush really can't do a lot when it comes to economy. Our economy is primarily driven by three things. The amount of money being printed, the prime interest rate, and the stock market. Which of those does Ben control? Which of those does Bush control...really? If...

That trade would have a lot of downside. First using the 45 calls you would need a price movement of almost $6.00 to break even and even then you are almost at the end of your acceleration curve. Your max risk while both months are active would be about $626 per set of contracts while on the...

Be careful with that one. Even with the high IV the June and July contracts have relatively low daily volume. That means that once the news is announced if you happen to be in a bad trade the volume could dry up a lot faster than you can dream of getting out of that trade.

I am not quite sure what you mean by "straddle w/ a directional bias". You either buy a straddle (buy a call and buy a put) which make money on a large move either direction, or you sell a straddle and keep the premium if the stock doesn't move at all. Selling a straddle is more profitable if IV...

There are two similar trades the Double Diagonal and the Double Calendar Spread. The Double Diagonal is basically an Iron Condor with the short positions in the front month and the long positions in the back month. The Double Calendar Spread is writing a call and put in the front month and...

If the volatility level is already at a 52wk high you are looking for volatility to likely drop. This means that options tend to be overpriced. So you want to look at selling options. This way as volatility comes back down and the option prices drop you can buy to cover at a lower price. If the...

One thing no one else has mentioned so I will. BEWARE of pooling money with family and friends. It never fails in these types of situations someone will get pissed and someone will get screwed. Scenario 1: The account loses a large sum of the money (or possibly all of it). At least one person...

Well could be. I just get suspicious of someone with low post count pimping a trading site/service, etc. If it's all in jest then...lol

Political parties are the bane of the US government. Both sides only care about furthering their parties power while minimizing the other party. What is sad is that george Washington warned us about this very problem way back in 1796 when he said the following in his farewell address:

Yeah don't listen to the people giving advice for free go pay $5000-$25000 or more for Swift trade to tell you the same things. You too can have your picture taken and posted on the internet in a random thread by a spammer.

Swift trade will take $5000 or more of your money and teach you everything you already learned from the books you have read.

1. He was born and raised Muslim but has converted over Church of Christ 2. I'm NOT saying that since he was born and raised a Muslim that it means he is a terrorist. Nor am I saying that b/c John Mc is a republican he must be a bad president either. In fact I was saying that trying to make...

I agree with what others have said. Never give up a guaranteed paycheck for the CHANCE to get another paycheck. Here is my sugestion: 1. Learn to swing trade 1 to 4 week long trades. The only things you need to look at are support/resistance, trends in the stock, sector and broad markets...

I find it funny that since Bush is republican and people think he is a horrible president that they don't want John McCain in the White House b/c he is also a republican. Thats like saying Osama and Obama are both Muslim and thus both terrorists. It's just not true. You have to look at the...

If it's broker sponsored they may not be looking to sell anything after all. They look at it as the better educated you are, the longer it takes to blow your account, and the more they make in commissions. That is how they make their money and why they sometimes sponsor free classes. If you see...