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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?


To: Step1 who wrote (33166)5/7/2003 1:39:31 AM
From: LLCF  Read Replies (1) | Respond to of 74559
 
<That said, statistically, option writers make more money over the long term. option buying is way more difficult and that is due to the time factor. the option is a wasting asset and as time goes by it favors the writer.>

Options were usually too cheap during the bull. That statistic is only part of the story, clearly if options were overvalued everyone would sell them. In fact, the pro's are usually long them. BUT, they use the position to trade the stock aggressively.

You can say: 'options usually go out worthless, or option buyers usually lose money AND options are usually priced to cheap.

DAK



To: Step1 who wrote (33166)5/7/2003 2:25:42 AM
From: TobagoJack  Read Replies (1) | Respond to of 74559
 
Don't know, because I do not generally buy options, unless to close an open short position ;0)