There is such a thing? (We have it in US markets too... it's called "wishful thinking".)
Small Percentage Gains from Large Account Strategies?
- Thread starter LaxFan
- Start date
There is such a thing? (We have it in US markets too... it's called "wishful thinking".)
Some guys, as far as i understood (im not a regular there), are chasing this dream for 10 - 20 years, and those who ,,already made it'', tease them :
,,Hey Dariau, how is your beach bot improvements going on ?
''(meanwhile, they know that the guy haven't seen a green percentage for the past 8 years)
sell strangles on spx unlevered.
You're fcking confused.
Cash-secured puts relates to shorting puts and having the net liq to support holding the assigned shares in cash, no margin. It is NOT buying puts with cash (which is how they are bought, you fool.) A "naked put" simply refers to the put being "uncovered" by a long put or by short shares (short synthetic call).
A cash-secured put on CMG at the 1400 strike means that you have $140K available to support the assignment.
The term "cash secured puts" relates to the only naked writing allowed in cash equity vol in IRA/mIRA accounts. Margin IRA accounts allow futures/FOs option writing (naked) and naked equity puts provided they are cash secured. You cannot run synthetics (short stock) in an mIRA.
I have designed 4 option spread systems, automated, each have very very high profitable percentages but they are not like most think of getting rich overnite. Positions kept less then a week to several months. I don't care about monthly percent gains other than they are on plus side. The down side is open positions are negative. Backtesting systems back to mid 90's showed no losing years and past two years traded have been profitable. System beats S&P Indexes is all that I care about. I liquidated all my stock positions last year to put 60% more into options.
Other 40% added to long term commodities system have traded since 1991, cause of hedging, risk very small but yearly gains are 3 years of small returns and 1 year of 100%+ returns. Though last 2.5 years been sweet.
I don't do the Greeks in options and all trades counter trend in commodities. Yes, I have my edge which is adding knowledge every year.
There is no free lunch in trading.
Other 40% added to long term commodities system have traded since 1991, cause of hedging, risk very small but yearly gains are 3 years of small returns and 1 year of 100%+ returns. Though last 2.5 years been sweet.
I don't do the Greeks in options and all trades counter trend in commodities. Yes, I have my edge which is adding knowledge every year.
There is no free lunch in trading.
I know I'm going to get roasted...But
Find value companies with a "wide moat"...You can check Berkshire Hathaway's ideas of a wide moat. Wait for an off quarter...Then buy. If it has a dividend, even better (think Coke KO).
Do a covered call, if you feel it is of good value and is holding market share.
One example I will use. In 2019 the second Boeing 737max went down. I felt they would find the problem. I bought the stock (even though they eliminated the dividend), then did a leap (covered call). Juicy premium on a value company...
If the company drops by 10-20%, get out quickly (buy back your option), then move out of the company...GM, F, GE were disasters for me over the years.
Yeah, I know Des with step in with "A married put converts the position to a synthetic long call at the put strike". But, when you have a ton of money and want to invest (doing better that the 4-5% a CD or one year treasure will pay), with safety, this might be the way to go...
Maybe I am wrong, but you seem to be a long term investor, rather than a trader...
PS SPY or QQQ with covered calls could work.
PSS I'm riding my bicycle...I'll get to your shredding later.
Find value companies with a "wide moat"...You can check Berkshire Hathaway's ideas of a wide moat. Wait for an off quarter...Then buy. If it has a dividend, even better (think Coke KO).
Do a covered call, if you feel it is of good value and is holding market share.
One example I will use. In 2019 the second Boeing 737max went down. I felt they would find the problem. I bought the stock (even though they eliminated the dividend), then did a leap (covered call). Juicy premium on a value company...
If the company drops by 10-20%, get out quickly (buy back your option), then move out of the company...GM, F, GE were disasters for me over the years.
Yeah, I know Des with step in with "A married put converts the position to a synthetic long call at the put strike". But, when you have a ton of money and want to invest (doing better that the 4-5% a CD or one year treasure will pay), with safety, this might be the way to go...
Maybe I am wrong, but you seem to be a long term investor, rather than a trader...
PS SPY or QQQ with covered calls could work.
PSS I'm riding my bicycle...I'll get to your shredding later.
Thanks for the constructive feedback. I had a feeling when I originally posted that I would get attacked; was just looking for ideas. You're right--I'm a long term investor rather than a trader, but always interested in learning.
Hey New just wondering lets say OP has 500k account. How many strangles (ie # of contracts)would you sell a month to consider it unlevered? Thx
