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Long speculators will make money if they correctly predict a decreasing supply and/or and increasing demand for oil. Just because their effect on the oil market in the long run is to cause an increase in supply doesn't mean there still isn't room for profit.

Sorry I didn't cancel all my meetings to be on here all day everyday. I would love for you to point of specifically what you disagree with in my argument that futures transactions lead to capital creation (options transactions go through essentially the same process but futures are simpler to...

Haha in the minds of atticus and Free Thinker, he has taken from another economy to give to his local economy since they believe options can't lead to the creation of net wealth in the economy.

When did I ever claim it to be "fungible to the opposing side of that order"? My point as I have said over and over is that the owner of the covered is not losing money when the stock price increases.

Haha man sorry nothing is clouding my mind and I understand what a covered call is. In the mind of the owner of a covered call, it is one position. He or she only is concerned if net position (long stock, short call) is profitable. He makes money, not loses money if the stock rises and the...

Free Thinker clearly does

I present a detailed analysis of my argument the responses I get are "you are a net loser". Come on, if you think something is wrong with my argument lets be a little more specific here. Now I remember why I stopped posting on ET for several years.

You are missing the point. I never said or argued that the options market alone isn't zero sum. The statement was made when someone makes money in options, another person is losing money and this is the point. The CBOE website even states this is false and the example I made of a covered call...

Haha you know you have won a debate when the other person has to resort to being impudent.

My arguments are: 1. When someone makes money on an option trade someone else does not have to be losing money. 2. Viewing the options market as a closed system is stupid. I never claimed that the options market when viewed as a closed system isn't zero-sum. Just that it should never...

First of all I was not the one who made the original claim about "making money", read the tread. Second, stupidity is consider the options markets as a closed system without including the underlying from which they are derived. Options are zero-sum only when the options market alone is viewed...

While you are at it, you should probably go argue with the CBOE: http://www.cboe.com/Advisors/knowledge/myth7.aspx

Reading is fundamental. Fifth post in this thread: Market makers have everything to do with discussion if you buy or sell an option, most likely you are buying or selling it from a market maker. Market makers hedge their positions with other options and the underlying. You can make...

Yes but the statement was that "in options if you are making money someone else is losing it" and this is clearly wrong. Options market makers seek to remain delta neutral and limit their exposure to price fluctuations of the underlying instrument. Viewing an options trade as someone selling...

Please explain how the writer of a covered call and the purchaser of that call can't both be profitable on that trade then.

You should probably buy a new calculator then.

Lack of gasoline demand in the US? Is this a joke? Americans have no lack of demand for gasoline. A lack of demand leads to lower prices, not higher prices. The reason no new refineries are made in the US is because of the strict environmental regulations in the industry.

This is not true. Options are derivatives of stocks which are not a zero sum game. Many option trades involve owning the derivative as well as options. I can write a covered call (own the stock and sell the call) while you buy the call. If the stock price has increased enough at the...

Contrary to what Obama and many Democrats want you to believe, long oil speculation actually decreases gas prices and causes price stabilization. Anyone who has a basic understand of economics and how the futures market work should be able to come to this conclusion. When speculators bid up...

I trade with Matlab scripts and use activex to communicate IBs API.