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You are correct, you are not long the downside in the pure sense of the meaning of a short. However, the main question is how to short in an IRA. To my knowledge shorting stock in an IRA is not possible. A collar is a short of sorts (admitted stretching the idea of shorting). More accurately...

The revelation and the reality that chance plays in day to day life isn't anything new. Taleb merely gives another point of view amongst a sea of voices that exist today. I agree that many investors/traders really don't realize their exact risk exposure and sometimes kid themselves about this...

Here's a really good New Yorker article about Taleb. It goes into his meeting with Niederhoffer and the impact that meeting had upon him as well as the diagnosis of his throat cancer. Anybody REALLY interested in furthering his understanding of Taleb should really read it, a good synopsis of...

Yeah, an election of Hamas by the Palestinians and an outright hatred for America and Israel. The Iranian people at large are more moderate and secular in nature, but their government doesn't care about the will of the people. When people start acknowledging that there are world leaders...

Any time milk and bottled water are more expensive than oil/energy you need to take note. How dangerous is it to milk a cow? How many cow's are there? How dangerous is it to put up and oil rig in Nigeria and keep it producing while imminent threat from rebel forces looms? How much...

The reality is that tapping more of the sources here in this country doesn't make economic sense until oil levels out at above the 50 a barrel price. Ironic isn't it. If we tap our outer shelf and other places as we bring more local oil on line, the price will drop. So in short, we need to...

Sell covered call and go long the put, a collar. You have locked the stock at current level. You have sold off your upside and gone long the downside.

No, Bernake not speaking today, but it is coming. FOMC minutes will be on the 21st. Then Mr. Bernake takes center stage on March 28.

No. Try JPN for Japan Index on CBOE. Many of the ETF's are still in their infancy and options aren't activly traded or even offered at present time. ETF's are still new and yes they are optionable, but not all have options trading at present time.

Market currently "baking in" a 5% Fed funds rate. DOW 10,800 support trying to hold. Question is how long of a support will it be? Even if it does hold we still have to get past Bernake's first statements as a Fed chairman. It's about to get interesting. Bernake has the power of a 5%...

I was just curious if any of the options traders here have been using the P/C ratios over the past 6 months or so for signals on current market?

Usually not a good choice to buy any options if you haven't based the purchase upon a strategy. At least a little technical analysis of the underlying is needed. When you purchase that book, read carefully about buying out of the money (OTM) options. Don't worry, OTM options are...

Let me start with a simple question. Why and how did you decide upon the 35 strike and March time horizon?

Because foreign buyers are sitting on the long end buying it up, keeping yields low. I've heard reports have that activity valued at around 75bps. Makes sense. The Chinese want to lock in their dollars as well as make sure the consumer can still keep buying in order to keep their economy...

You'll learn nothing much worth trading with as far as options are concerned in college. Options are probably one of the most "self-motivation required" areas of the market to become successful. From my experience, you either have the drive to learn options and their many uses, or you...

Interesting, oil and nat. gas correlation is a non-starter. If oil breaches back to 40 levels, there's not gonna be any stocks worth a damn, the economy will be in a recession. Oh, yeah, that's where the economy was the last time oil was at that level. This time it's different-----seems...

I suggest you buy some books and start reading. Your answers lie in those pages. I'm not trying to be condescending. I'm just trying to help, but sometimes self-help is the best.

I have been long KMP (pipelines limited partnership) as well as KMI. I think you will find the energy sector will probably be very stable over the next year in my opinion. With uncertainty in Iran and high oil prices, it's hard right now to make an all out case against oil. The question is...

I am not familiar with Ameritrade, but have used and still do use Scottrade for one of my accounts. I assume they are pretty similar in their allowances. you're probably not permitted to do any naked options plays, but you will be allowed to write covered calls and purchase calls and puts...

In my case the response to your question is yes, kinda. I really don't have a written in stone plan (maybe I should), but I do have a constructed set of rules that I follow that I have developed over the years. My trading style has definitely been refined over the years and fits me well, and...