SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Non-Tech : The Critical Investing Workshop
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: CNC who wrote (7821)3/16/2000 6:37:00 PM
From: Voltaire  Read Replies (3) of 35685
 
Hi CNC,

There are always exceptions to every rule but what I tell people is: Everything being equal the stocks out of the money will generally move about a third ahead of the options on the up and down side. In times of exuberance and times of fear it can be a lot closer to even. This pattern can be seen by going to the options chain and looking at the stocks appreciation for the day then look at the options. You have to look at the DAYS ACTION to make sure things are correct. Remember your account value and the value of all options is figured on the last trade of that option. If it has not traded in a few days, this can be very distorted, the reason this is very important is because if it is way out of line, it could bring on a margin call. You can buy options on margin but if you have them in a margin account it can affect the entire account.

V
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News