My OPTION TRADES..... part 2

[Put_Master]

Since i don't do indexes and you don't do stocks, and since you won't participate in my $25,000 bull put credit spread hypothetical request,.... I guess we have nothing left to discuss.
Good luck with your..... "adjustments".

 

[Appleseed]

Quote from atticus:

So are you associated with the website or not? I'll do the maths again, but 2012 - 1988 does not equal 35.

Atticus

I posted the web site to show that OTM options can be done successfully.
Teddie knight has DOCUNMENTED her option trades with a return of 12%to 40% for the last 3 or 4 years. BUT She sells nothing.
There are bothersome banners there that have increased with her success but she SELLS NOTHING.
Either you did not browse the site for any length of time to see
this or your challenged in reading

My lenght of time trading has never been a serious endever
for me just a challenge. I earned a great living designing and building selling custom homes in N.J,PA,and Calf
I only just started hustling web sites

CHEERS
john

 

[webicknell]

Quote from Put_Master:

Since i don't do indexes and you don't do stocks, and since you won't participate in my $25,000 bull put credit spread hypothetical request,.... I guess we have nothing left to discuss.
Good luck with your..... "adjustments".

Interesting response....
I did participate, but can only participate with what I do and know... otherwise it is purely hypothetical... if it is purely hypothetical, why do you not play it out show us what your point is.
I guess we can just move on....

 

[diaoptions]

Quote from ryanpatrick:

Alright, I've added the PVH spread 90/95 call spread to be exact at a price of $1.85 per contract.

Looked over JOSB again, and someone jumped those 40 puts on Friday with over 2000 contracts opened. With short interest also show 16% float (heavy in my standards), I'm not pulling any triggers just yet. I'll give it another day and see how JOSB works around that $40area first with shares testing below $40 earlier today.

Nothing much beyond TFM and JOSB on Wednesday morning. I'll look at ZUMZ and OVTI, but those aren't my favorites of all.

The PVH trade looks promising. I will be watching that one.

 

[taowave]

Putmaster,I disagree with much of what you believe to be true.
In the sense of pure RISK,a put spread is LESS risky than a naked put.There should be no argument there.

You introduce selling put spreads(plural) to bring in the same amount of money as a naked put,yet you do it with no regard to delta,gamma,skew etc..

Your main point is leverage is evil,and you are correct there in the case of put spreads,AND for naked puts.

If you are going to compare a put spread with a naked put,at least start with delta neutral positions and talk about risk from there.Equal premium makes no sense unless you desire to go the way of the dinosaur.

On a side note,Atticus summed it up very well regarding ATM(or slightly ITM).IMHO,selling the OTM is fools gold,and the fearful traders ticket.If you are going to take risk,get paid to do so and sell ATM or higher.You never know,you may actually be right in your market/stock call and should be paid for it.

Quote from Put_Master:

I don't take insults or personal attacks from Dan, diaoptions, or others personally.
I'm here to learn what i don't understand, and to teach what I do understand.
Whether those 2 learn the hard way or the easy way, is not my concern.
I'm posting for others who may pop into the board as casual readers, and perhaps not realize the "financial" ruin they may be putting themselves at risk for.
I'm currently focussing on spreads, simply because that is the one most traders think is the safest.... when it's actually one of the most risky.

 

[taowave]

p.s. i meant to say delta equivalant,not neutral

 

[cdcaveman]

most long term net short premium traders are spread traders... if we are going to start throwing out generalities.. and yes they do blow up.. just like over leveraged naked put traders... cash secured put seller/buy writers are low return less risk traders.. sure its a way to get more for your money if your trying to hedge a little bit instead of just exposing yourself completely by buying outright underlyings..
i don't think this is a apple to oranges comparison.. but i do think alot of times putty man hammers away at the risks of leveraging up on selling naked puts or as well through spreads to get higher returns.... and just as i tell people that ask me if they have a drinking problem that obviously do and don't get it... "just keep drinking and you'll find out" hahaha the bottom line with the buy/writer is you better realize that your totally exposed to market crashes.. and they can take 10 to 20 years to make up from... and if you don't think you are the fool .. you probably are.

 

[diaoptions]

Quote from cdcaveman:

most long term net short premium traders are spread traders... if we are going to start throwing out generalities.. and yes they do blow up.. just like over leveraged naked put traders... cash secured put seller/buy writers are low return less risk traders.. sure its a way to get more for your money if your trying to hedge a little bit instead of just exposing yourself completely by buying outright underlyings..
i don't think this is a apple to oranges comparison.. but i do think alot of times putty man hammers away at the risks of leveraging up on selling naked puts or as well through spreads to get higher returns.... and just as i tell people that ask me if they have a drinking problem that obviously do and don't get it... "just keep drinking and you'll find out" hahaha the bottom line with the buy/writer is you better realize that your totally exposed to market crashes.. and they can take 10 to 20 years to make up from... and if you don't think you are the fool .. you probably are.

+1

 

[diaoptions]

Quote from taowave:

Putmaster,I disagree with much of what you believe to be true.
In the sense of pure RISK,a put spread is LESS risky than a naked put.There should be no argument there.

You introduce selling put spreads(plural) to bring in the same amount of money as a naked put,yet you do it with no regard to delta,gamma,skew etc..

Your main point is leverage is evil,and you are correct there in the case of put spreads,AND for naked puts.

If you are going to compare a put spread with a naked put,at least start with delta neutral positions and talk about risk from there.Equal premium makes no sense unless you desire to go the way of the dinosaur.

On a side note,Atticus summed it up very well regarding ATM(or slightly ITM).IMHO,selling the OTM is fools gold,and the fearful traders ticket.If you are going to take risk,get paid to do so and sell ATM or higher.You never know,you may actually be right in your market/stock call and should be paid for it.

+1

 

[Put_Master]

Quote from webicknell:

Interesting response....
I did participate, but can only participate with what I do and know... otherwise it is purely hypothetical... if it is purely hypothetical, why do you not play it out show us what your point is.
I guess we can just move on....

I've given a dozen examples of what I am refering to over the past 20 pages. In fact, I've given so many example, half the readers are complaining that I'm giving too many example.
If you either didn't read them or don't understand my message, there is little point in my sharing yet another example.
Hence the reason I asked you to come up with a hypothetical stock(s) spread for us to discuss, assuming a hypothetical $25,000 to invest on it or them.
I really don't know why you are resisting the request, as it can't take you more than 10 seconds to think of a stock. Any stock or stocks.