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Strategies & Market Trends : Classic TA Workplace -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (67504)	2/26/2003 8:11:58 PM
From: Jack of All Trades	Read Replies (2) \| Respond to of 209892

Wouldn't you be better off leveraging with the futures? Let's see... schaeffersresearch.com I see no real premi on the SP500 900 puts priced at 75.00. If the SP went down 25 pts they would be worth 100.00 for a 2500 profit. If you shorted two ES contracts your maintance would be around $7500 or the same as one put. So if the market went down 25 pts you'd have a $2500 profit. If the market went up by 25pts your options would be around $55 or a loss of $2000 and your futures loss would be $2500. So look like playing this option is a draw on the profit and better on the loss. If one is daytrading then initial and maintance is usually half of what is to hold overnite. So, daytrading the leverage of playing the ES vs SP Options is about 2X. But that also means you can lose 2X as much... <NG>