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The CDN VIXC is up 2.77 to 17.90 and retreating. This tells me next week, back to a grind of no growth.

I prefer just ITM. If the swing goes your way, the sooner the P/L turns green.

P.T. Barnum was credited with saying "a sucker is born every minute", yet it was David Hannum who used it to criticize Barnum. :banghead:

Double check to see if you become subject to U.S. tax laws I'm in Canada, and won't trade on the U.S. exchanges, because of being subject to U.S. and Canadian tax laws, and 1.28 exchange rate turns profits into a grind.

IMHO, never use stop losses, you're better off with cheap puts. Make them delta neutral to your stock. Decent movement either way, you're in the money or make adjustments and lock in profits. Good luck!

You sound like the way I started out. After spending about 7 years as a value investor, the lure of options appeared. I played long ITM options as replacement, and for about 2.5 years did great. Then came the oil crash, and I gave most of what I made back. After trying various strategies...

Did a small 3-2 strip straddle

Every once in a while I pick up some LEAPS and I look for OTM with miniscual theta and a heavy OI (liquid) with tight b/a spread. Can be tough to find, but occasionally there.

I mainly trade "long put synthetic straddles" and leg into the put options first. The b/a spread (especially if super tight) tends to move against you a lot quicker than the stock spread. Also if something goes awry while holding the stock (computer crash or MM takes a smoke break, etc.), big...

I did make a nice profit in a year that's been going sideways for me, but should have milked it for more.

I'm under the impression the 30day wash rule only applies to stocks and call options, not put options, but don't want to phone the CRA or IRS to find out. The following is from an 8year old answer on Yahoo! which only mentions a call option.

IMHO, selling high vol, relative to hv, is risky, but can be very profitable. Going long, you want low vol, relative to hv, but I think that's a crap shoot. Synthetic long put straddles seem to come down the middle for me. You need high OI and a tight b/a. Research it, and you might come away...

I closed out stock "A" position for profit, and closed out the long put position, on stock "A", for a loss. (everything at the same time) Do I have to wait 30 days to purchase new long puts on stock "A" that I'm repurchasing, which is now a week later, to avoid the 30day wash rule? Thoughts...

The TMX has a good educational portal for all levels. It's well done. Either watch short video's or read PDF files. http://www.m-x.tv/en/ Good luck :)

Just to add one more thing, swinging the same 2 or 3 stocks might be too difficult because of the 30 day rule (taxes).

I'm on the TMX, and my watch-list hovers between 15 and 20 underliers, mainly on energies, metals and financials. Has to be very, very liquid, otherwise a complete waste of time and money. Trying to limit swing's to 2 weeks max.

Concentrate on defense, and the offense will eventually come back. Good luck.

I 'd like a tool that notifies me when the bid/ask option spread is .02 or less on my predetermined watch list. I trade on the TMX (CDN), so finding tight b/a spreads is gold. :banghead:

Hand written (no computer generated nonsense) trading plan on a board you can easily see. Before every trade make sure you check off each criteria you've set for yourself. Every time you want to make a change, yes, rewrite. In time it will become second nature, and you'll thank yourself down...

IMO, if you already own 1000 shares of x that's shown movement, buy 20 -.50 delta, Jul puts with a tight bid/ask spread, and an OI of at least 1000. Make sure you have some vol, otherwise nothing might happen and theta will eat you. Some nice movement will open the door for delta neutral...