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Technology Stocks : How high will Microsoft fly? -- Ignore unavailable to you. Want to Upgrade?

To: taxman who wrote (29724)	9/18/1999 1:50:00 PM
From: t2	Read Replies (1) \| Respond to of 74651

taxman, i don't consider it a casino when trading cheap options. One can always complement such strategies by going 90% in cash and try making money on such speculative trades(or even options that trade around 3 to 5 dollars). That means you can't lose more than 10% of your portfolio even if we get a major market crash. However, if one just trades cheap options with major money, then it is like going to a casino. I don't trade that way (anymore!). I just have a small account set up that allows me to place such trades. Actually, i have not bought options below 1/2 in any significant amount in a long time. This one brokerage may not be the only one that caps trades below a certain dollar amount. Does your broker not have a maximum commission on small stock trades. I found that almost all do. The only difference is that they don't carry it over to options (like they should). I have to say $300 to $500 on $2000 options trade would be just be a ripoff!!