BEFRIEND THE TREND Short-term Options Trading Thread 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 : BEFRIEND THE TREND Short-term Options Trading Thread

QQQ 614.31

-0.8%

Dec 31 4:00 PM EST

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Ken Adams who wrote (750)	2/13/2002 7:46:50 PM
From: SusieQ1065	Read Replies (4) of 4058

hello Ken...Florida was lovely i trust...;-) sure i'd be happy to tell you what i'm doing...and i would love to get input from everyone about how they think their favorite's might react to earnings.. i cull from the Briefing Earnings Calender...first eliminating stocks that don't have options, and the one's under $5. then i eliminate the ones that look like they don't have any volatility at all, ever... then i check the last Earning Report date...and see if there was any big reaction last time... the final filter would be that hopefully the stock price is close to a strike price...and that the stock has not been volatile for awhile, so that the price of the option isn't too high... so ideally i want an equal number of puts and calls at the same at-the-money strike price... if i can't get that...then my second choice is if the options have strikes in $2.50 increments...and if the price of the option looks cheap one step out, then i'll go that way... the only loss i've taken so far is ZRAN...and that was a good learning experience...i will never do another straddle with far out-the-moneys...it's no win. one of the reasons i like this so much...besides the fact that it's low risk...is because typically i'm a very bearish trader, i short a lot...and this gives me the opportunity to play these long, with a hedge... and the long side of these plays has been very good..

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next