jfred--
Broken Desk Chair Theory hasn't yet been tested at USRX. I really do have to go out and get a new one soon--been using a kitchen chair for months now, and it isn't the right height. Maybe that's the problem. In any case, I'll be sure to let you all know when I make the Big Purchase, and we'll see what happens.
As for the MSH. There's been more recent talk about this over at GOOFS. It's the Morgan Stanley High Tech 35 index; USRX has just been added to it, which is how it came to everyone's attention. In the last couple of weeks running up to expiry, premiums are relatively reasonable, and the thing's so insanely volatile (and with what's been dropped and what's been added as of Friday, will now be even more so) that it can easily go up or down 15 points in a session or two. Wednesday through Friday of last week, at its lowest it was I think 376 (W open), at its highest 404 (F just after the open). Needless to say, I didn't play it cleverly enough to take full advantage of this nearly 30-point movement (and needless to say, even on-the-money options don't fully reflect the movement of the index), but I did okay, and it was a gas.
What I've been moaning about here recently is that I discovered to my sorrow that since they're European style they don't trade on expiry day (a good thing to remember). I'd wanted to make a quickie play on December 395 puts Friday, and if it hadn't been impossible to do, would have made out like a bandit.
Unfortunately now that expiration's just over, the January stuff is carrying very high premiums, and not moving all that much. So it seem I'll have to wait a few weeks before the fun resumes.
Janice |
