I'm looking for suggestions for a good broker for my needs (details in post)

FXforex · Jan 16, 2014

Quote from Yitzi:

I am planning on focusing on severely out-of-the-money contracts, hence low premiums (think $1 per contract at the high end).

Quote from Swan Noir:

Can you really execute your strategy with less than 5K?

At =<$1.00 per contract the answer would be YES. Credit or debit spreads.

Yitzi · Jan 16, 2014

Quote from FXforex:

At =<$1.00 per contract the answer would be YES. Credit or debit spreads.

Actually, I'm planning on more complicated spreads than simple credit or debit, and the main "work" of my strategy is based more in the choice of options than the nature of the spreads; it's a fundamentals-based speculation-based strategy, not day-trading. But yes, the low cost per contract is how I hope to make a substantial amount of money without starting with a lot.

bwolinsky · Jan 16, 2014

Op this is clearly a case of under capitalization.

FXforex · Jan 16, 2014

Quote from bwolinsky:

Op this is clearly a case of under capitalization.

Why? Less than $5000 is enough to trade options.

Yitzi · Jan 17, 2014

Also, I'm not quite certain of my strategy yet (the theory seems sound, but I'm not certain that my ability to read the market will be as good as I think), so I'd rather not risk a substantial portion of my assets on it until it's a bit more tested. If it works as I hope, my investment should grow enough anyway.