karennma
8,057 posts
msg #125349
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10/1/2015 1:47:21 PM
I'm not buying stock anymore. EOS.
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karennma
8,057 posts
msg #125350
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10/1/2015 1:48:08 PM
Abbreviations:
RT- Real Time
PT - Paper Trade
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karennma
8,057 posts
msg #125351
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10/1/2015 2:11:22 PM
RT PT
MU
BTO 10-09-15 16.50 call @ .23 (1) -230
STO - 10-02-15 17.00 call @ .21 (1) +210
STO 10-02-15 10.00 puts @0.03 (20) + 60
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karennma
8,057 posts
msg #125365
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modified |
10/2/2015 1:04:29 PM
Sorry! That was a typo. Obviously, the 10-09-15 call expires on the 9th, not the 16th. LOL!
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karennma
8,057 posts
msg #125367
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10/2/2015 2:33:15 PM
DOW - current price $44.10
STO (20) 10-09-15 DOW 40 Puts @ .08 = +160
BTO (1) 10-16-15 DOW 44.00 Call @ 1.34 = -134
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karennma
8,057 posts
msg #125369
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10/2/2015 2:43:43 PM
karennma
5,522 posts
msg #125366
- Edit message 10/2/2015 1:57:32 PM
BAC (current price $15.14)
STO (40) 10-09-15 $14.00 Puts @ .04 (+$160)
BTO (5) 10-09-15 $15.oo Call @ 0.36 (-$180) <<< THAT SUX. Need more time. Changing 10-09-15 to 10-16-15
BTO (3) 10-16-15 $15 Calls @ .55 (-165)
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mahkoh
1,065 posts
msg #125371
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10/2/2015 3:06:36 PM
Karen, if you're looking for feedback in this thread a little elaboration as to the why of these setups might help.
BAC (current price $15.14)
STO (40) 10-09-15 $14.00 Puts @ .04 (+$160)
BTO (3) 10-16-15 $15.00 Calls @ .55 (-165)
You're selling the puts for 0.04, and I assume you have to pay commissions on those. For each contract my margin requirement would currently be $183, and return on margin 1,6 % with commissions of $1 per contract. Do you think that is reasonable for the risk you're taking on?
Do you take this trade because you have indications that the stock may rise or because premiums are favorable?
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karennma
8,057 posts
msg #125373
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10/2/2015 4:59:57 PM
Hi Mahkoh,
Thanks so much for responding. One thing that has gotten me so frustrated recently is getting NO feedback from members, so, I appreciate your questions.
Anyone who follows this thread ("Options") will have to figure out their own commissions, and tweak the strategies accordingly, as broker commissions vary. If I decide to do options exclusively, then eventually, I'd have to open an acc't w/ either Trade King, Optionshouse or Options-Xpress to keep my commissions/expenses down.
Regarding "indications" ....
At this time, the main purpose of the thread is to have a net gain at the close of each trade. The only way I can accomplish that is to do either debit or credit spreads. Over time, we'll see how it goes.
You'll find the strategies may be bullish, bearish or neutral. I'm not so much taking a position on one side or another as I'm simply trying to minimize losses. It's easier (and cheaper) to be "neutral" with options; not so much with stock. The beauty of the weeklies is, at the end of the trading week, you either have a loss, gain or cash. It's built-in discipline. That's why I'm switching to options.
Frankly, I don't like the "gambling" aspect of trading stock -- particularly in a volatile, unpredictable market like this. Options offer more "controlled" risk, because if you design your strategy correctly, your cash outlay is minimal with a huge amount of LEVERAGE! Stocks have no leverage.
My goal is to have a net gain at the end of each quarter. For me, small gains are better than one big loss. "Pigs get slaughtered" .. Sadly, I forgot that when I was trading AMBA.
Never again!
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karennma
8,057 posts
msg #125374
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10/2/2015 5:00:48 PM
Mahkoh,
That was the long answer. The short answer is -- "premiums are favorable".
:>)
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karennma
8,057 posts
msg #125375
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10/2/2015 5:17:13 PM
BTW, to anyone who's interested ....
As the positions are closed, I will post the results.
The results of the MU trade have been posted.
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