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Strategies & Market Trends : Waiting for the big Kahuna

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To: yard_man who wrote (14935)3/11/1998 10:04:00 PM
From: James F. Hopkins  Read Replies (1) of 94695
 
Well you wind up with two sets of commissions, and two spreads,
and the Skew..sure you can make a few bucks but the idea of them
taking so much of the profit galls me..and with AOL they done gone
crazy with the premiums , and they do skew them when she moves,
depending on if the option is being writen, or just trading..
like if they don't have any orders from option holders to
trade, and you want to buy they skew the price all over the place..trying to get someone to write or sell an option.
If you go to close one , and they don't got any sellers they
skew it again..then with the bigger issues they got floor
traders ( sharks ) who pay a daily fee to buy and sell the
stuff on the spot, and you really wind up sort of in a
third world market, getting what they don't want.
Saw a tape on it not long ago..was interesting.
Jim
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