Google???????

Quote from cks316:

I was just suggesting a long put for the following reasons:

Google is at its 52 week high.
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Long Puts at "market highs" is a bad idea. Long Calls, Credit Put Spreads or Debt Call Spreads are better.

Quote from cks316:
Previous trends have shown downward movements before the stock has broken new highs.
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You only notice those trends because you are looking at historical charts and it is easy to spot "trends". How do you know that GOOG is at its "high" now?
 
I think that the comments are with good intentions and not just to chew you out.

That being said...are you freakin nuts????
only kidding.

It seems you have an idea and you want to exucute with options. Thats fine, but you should understand what you are trading. You should at least know what volatility and time decay do to them. Typically when volatility is low, you want to buy puts or calls or use debit spreads. You should also do this with expirations 45-60 days out so time decay is not much of a factor. When volatility is high, you want to use credit spreads < 30 days to expiration, this way you have volatility and time decay working for you. You can get an idea where volatility stands from ivolatility.com. Take a look at the current vs. historical.

So do a little research and come back with what strategy, strike(s) and expiratation(s) you want to use and you can get some more detailed feedback.
 
Quote from cks316:

I don't have any of those programs, so stat. data is out. I was just suggesting a long put for the following reasons:

Google is at its 52 week high

Previous trends have shown downward movements before the stock has broken new highs

I heard some lawsuits are being filed against YouTube


For all the expert traders on the forum, please don't chew a piece out of my ass because I know these aren't concrete reasons to buy/sell, I just wanted to make an obervation and see what you guys though.
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Not here to chew out anyone. Your analysis may be enough for the stock trader but it won't do for the option trader. Iow, you need to know a bit more about options before you start using them. Mojodawg summed it up nicely.
Good luck
daddy's boy
 
lol. I have been reading ET a long time, but new to posting. But I can remember threads and people posting about shorting GOOG since the IPO. I will never understand the mentality of shorting screamers like this. A sure way to losing all your $$$.
 
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