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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: High-Tech East who wrote (12063)	5/5/2002 8:48:42 PM
From: J.T.	Read Replies (4) \| Respond to of 19219

Thanks for the read Ken. Price seems to have a solid methodology to his system. I might go buy his book. Back Later. Best Regards, J.T.

To: High-Tech East who wrote (12063)	5/5/2002 8:54:03 PM
From: yard_man	Respond to of 19219

Stocks drive options or options drive stocks? That's a good question -- so many just assume options drive or at least presage moves in stocks ... not having done any formal study, I wonder if the masses aren't wrong. This guy may be right. >>Q: Why deemphasize the use of options? A: My belief is the bigger money is made by directional moves in stocks. To use the right option strategy -- and options are basically derivative instruments that add leverage or control risks -- you need to know where the stock is headed. I use options in select instances when the leverage makes sense or when the protection aspect makes sense. In a nonmoving, nondirectional market, we won't implement an options strategy but wait until a trend starts to appear. When the trend appears, we start to get aggressive with options. Trends drive the opportunity in stocks and, on a bigger level, in options <<