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Pastimes : Rules We Can Learn From -- Ignore unavailable to you. Want to Upgrade?


To: Ronin who wrote (8)4/25/1998 2:09:00 PM
From: Caroline  Read Replies (3) | Respond to of 109
 
Don't you think stop losses are particularly difficult on options plays? The spreads on many I own are ridiculous.

Does anyone on this thread buy calls, and if so have you discovered a way to put in a stop loss without getting stopped out unnecessarily?

Thanks to all,

Caroline



To: Ronin who wrote (8)4/25/1998 2:20:00 PM
From: The Perfect Hedge  Read Replies (1) | Respond to of 109
 
RULE-Do not chase a stock.Let it come to you...
GD



To: Ronin who wrote (8)4/27/1998 10:58:00 AM
From: AugustWest  Read Replies (2) | Respond to of 109
 
>>William D Gann Rule #2 Use stop loss orders.

You say set a stop loss 3-5 pts away. Wouldn't it be more in line to do it as a percentage? ie: WLA trades is trading in the $170-$180 range, and CPQ is trading in the $24-$30 range. Clearly a 5 point swing is more likely to occur in the WLA priced stock.

Sorry for not posting a rule, I'm just in a learnig stage.