My Options Play

[iceman1]

Quote from uninvited_guest:

What reasons can you come up with?

I think you need to beat to your own drummer.... and keep placing those market orders so you don't "MISS" any trades- LOL!

Of course you imply that each trade you "miss' will be (would have been) a PROFITABLE venture frm the moment you entered. :eek: :eek:

Thus we take it that you never scale in or out of any trade since you might "miss" something or other... or demonstrate "uncertainty" about your exit/entry? Rather you just exit all open positions "at the market" ALL the TIME?

Am I right?

LMAO

Ice

 

[iceman1]

Quote from iceman1:

I think buying IMCL Dec or Nov -- 35c-- IF stock trades back to low 33s is a "do" as I think it will (could) trade back to 35-36 by 11/21st = calls would double +

*stock hit 33.47 LOD
**printed @ 32.50

IMCL Nov35c traded to .70 -

 

[uninvited_guest]

Quote from thenewguy:

Cuz every dime of spread you can shave off is $10 per contract?

- The New Guy

That dime saving is no good if your trade doesn't get filled. It only gets filled if the stock moves AGAINST you.

 

[uninvited_guest]

Quote from iceman1:


Of course you imply that each trade you "miss' will be (would have been) a PROFITABLE venture frm the moment you entered. :eek: :eek

I didn't say that at all. But why research a stock and then sabotage a trade with a LIMIT order that doesn't get filled?

 

[thenewguy]

Quote from uninvited_guest:

That dime saving is no good if your trade doesn't get filled.

It's true, but if you watch for the bid/ask to thin out on whatever side you're trying to get in on, you can usually catch it just before it moves up to the next bracket. Assuming you're trading with direct access, rather than through a broker over the phone or something.

I can definately see your point... there's been times where I'll set my limit at the bid/ask and just take it, but I'll definately work the price if I think I have the time to do it.

In addition I've noticed that a lot of options are slow moving (I suppose the low delta one's) and the risk of working it is very minimal in my mind. Just work it until it looks like it's leaving your target, then take some of the last prices offered at that point. Sometimes the bracket will move up and if something about the trade changes you can get out for cheaper, other times it's a head fake and you bought the current bid/ask and nothing's changed - the same risk as buying at market.

just my $.02

- The New Guy

 

[cnms2]

Quote from uninvited_guest:

What reasons can you come up with?

I trade to make money. Each potential trade has to meet my requirements before opening it. One of them is a minimum reward / risk ratio.

Also, to improve my returns in long run I'm looking for ways to improve my odds of success with my entry, and I try to reduce my trading costs.

I place market orders only when I want them executed at any price: when I have to bail out NOW! I never use them to enter a new position.

You mentioned "uncertainty about a trade": I'm never certain about any trade. How could I be?

 

[iceman1]

Quote from cnms2:

I place market orders only when I want them executed at any price: when I have to bail out NOW! I never use them to enter a new position.

You mentioned "uncertainty about a trade": I'm never certain about any trade. How could I be?

well said

Ditto...!!!

but if you read "uninvited_guest's posts on this thread -- HE is SURE about everything...! :eek:

 

[cnms2]

Quote from cnms2:

...

You mentioned "uncertainty about a trade": I'm never certain about any trade. How could I be?

U_guest:

Looking at VZ's chart (attached) I see a bearish divergence. I'm certain about it. I'm also certain that this means a higher than 50% probability that some price drop will follow. I may decide to bet some money on it. I don't know if I win or I lose.

 

[thenewguy]

Quote from cnms2:

U_guest:

Looking at VZ's chart (attached) I see a bearish divergence. I'm certain about it. I'm also certain that this means a higher than 50% probability that some price drop will follow. I may decide to bet some money on it. I don't know if I win or I lose.

I'm CERTAIN that I bailed out of my KCI puts FAR too early today....




- The New Guy

 

[qiuniu]

Quote from uninvited_guest:

qiuniu you're a johnny-come-lately on this thread. I suggest you go back to the beginning and read every post and study every attachment before you post.

Regards

Uninvited Guest

hmmmm....

That's what I did, before I started posting.

Think postive bro.