MDA - Market Direction Analysis Message Board

STOCKTALK

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.

Strategies & Market Trends : MDA - Market Direction Analysis

SPY 659.00

+1.0%

Nov 21 4:00 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: HairBall who wrote (55041)	6/22/2000 7:03:00 PM
From: Casaubon	Read Replies (1) of 99985

If you are trying to hold long positions while hedging them using indexes...I suppose it can be done, but it would depend on the stock, the index being shorted and the allocation of each. Yes, I am trying to hedge a fairly large long position in company ISO's by going short an index (NDX at this time, but in a lesser dollar amount than the long position. Approximately 10:1 long to short). I have been taking profits but don't want to sell out of the long side because I think the chart is strong. Also, it would be tough to get the same level of upside exposure were I to sell the ISO's and repurchase stock on a decline, unless the decline was fairly significant. Of course, I use a stop on the short to minimize a runaway move.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next