NexusFi: Find Your Edge


Home Menu

 





iPhone release on Verizon!! Urgent!!


Discussion in Options

Updated
      Top Posters
    1. looks_one tderrick with 30 posts (3 thanks)
    2. looks_two Fat Tails with 9 posts (11 thanks)
    3. looks_3 sam028 with 7 posts (8 thanks)
    4. looks_4 traderwerks with 5 posts (6 thanks)
      Best Posters
    1. looks_one ThatManFromTexas with 2.8 thanks per post
    2. looks_two Fat Tails with 1.2 thanks per post
    3. looks_3 traderwerks with 1.2 thanks per post
    4. looks_4 sam028 with 1.1 thanks per post
    1. trending_up 19,693 views
    2. thumb_up 53 thanks given
    3. group 8 followers
    1. forum 71 posts
    2. attach_file 2 attachments




 
Search this Thread

iPhone release on Verizon!! Urgent!!

  #41 (permalink)
 
Fat Tails's Avatar
 Fat Tails 
Berlin, Europe
Market Wizard
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
Posts: 9,888 since Mar 2010
Thanks Given: 4,242
Thanks Received: 27,102


tderrick View Post
So you would just go long with a direction trade?
Is the straddle used as a hedge against risk?

tia

I have an idea that the market may retest the prior high, so I might go long on Monday, if the market confirms my idea. Confirmation means failure to go lower.

The straddle is not a hedge against risk. It is a non-directional trade with a long volatility position. But as @timmyb pointed out: If implied volatility is already high any long options positions - including straddles and strangles - might lose premium very quickly, so maybe it is a bit late for a long options position.

I am not an option trader, and I am not a gambler. If I do not understand something, I do not trade it.

Reply With Quote
Thanked by:

Can you help answer these questions
from other members on NexusFi?
Deepmoney LLM
Elite Quantitative GenAI/LLM
New Micros: Ultra 10-Year & Ultra T-Bond -- Live Now
Treasury Notes and Bonds
Futures True Range Report
The Elite Circle
Better Renko Gaps
The Elite Circle
My NT8 Volume Profile Split by Asian/Euro/Open
NinjaTrader
 
Best Threads (Most Thanked)
in the last 7 days on NexusFi
Get funded firms 2023/2024 - Any recommendations or word …
59 thanks
Funded Trader platforms
36 thanks
NexusFi site changelog and issues/problem reporting
25 thanks
GFIs1 1 DAX trade per day journal
19 thanks
The Program
18 thanks
  #42 (permalink)
 
Snoop's Avatar
 Snoop 
Toronto, Ontario
 
Experience: Advanced
Platform: NinjaTrader, Multicharts
Broker: IB, IQfeed
Trading: ES, CL
Posts: 203 since Oct 2009
Thanks Given: 135
Thanks Received: 165

So did you throw caution to the wind and take a position? I'm expecting yes.
You had stated you were limiting your risk to $300, so it wouldn't be the craziest move anyone has ever made,
but what were your assumptions to turn $300 into $50k (or even $25k)?

Reply With Quote
  #43 (permalink)
 
sam028's Avatar
 sam028 
Site Moderator
 
Posts: 3,765 since Jun 2009
Thanks Given: 3,825
Thanks Received: 4,629



Snoop View Post
So did you throw caution to the wind and take a position? I'm expecting yes.
You had stated you were limiting your risk to $300, so it wouldn't be the craziest move anyone has ever made,
but what were your assumptions to turn $300 into $50k (or even $25k)?

Call 33 March 2011 was quoting $3.00 this morning.
So if you buy this call ($300), and if VZ quotes more than $503 before March 18th, you'll win $50k:
(503 x 100) - $300 = 50.000.
Ok, it's only +1400% of the stock value in 3 month...

Success requires no deodorant! (Sun Tzu)
Follow me on Twitter Reply With Quote
  #44 (permalink)
 traderwerks   is a Vendor
 
Posts: 692 since Jun 2009
Thanks Given: 436
Thanks Received: 465


traderwerks View Post
Might be better to sell a call vertical. IV is highish and the market does not expect much of a move ( no skew between Feb and the next month ).

Sell the FEB 39's and buy the 40's against it. Net 0.05 or 0.06

I saw these going for 0.07 yesterday and 0.01 today on a buck spread between the 39's and 40's so it would have done a few percentage points in a couple of days. So sold at 0.05 or 0.06 , buy back at 0.01

I miss trading options.

Reply With Quote
  #45 (permalink)
 
ThatManFromTexas's Avatar
 ThatManFromTexas 
Houston,Tx
 
Experience: Advanced
Platform: NinjaTrader
Broker: Mirus Futures/Zen-Fire
Trading: TF
Posts: 2,265 since Feb 2010
Thanks Given: 1,206
Thanks Received: 4,348

After the announcement :

Shares in Verizon Communications fell 82 cents, or 2.3 percent, to $35.10 in afternoon trading Tuesday. The shares are still close to a two-year high of $37.70, set last week. Apple shares lost $1.20, or 0.4 percent, to $341.29, while AT&T lost 53 cents, or 1.9 percent, to $27.81.

I'm just a simple man trading a simple plan.

My daddy always said, "Every day above ground is a good day!"
Reply With Quote
Thanked by:
  #46 (permalink)
 
tderrick's Avatar
 tderrick 
Nashville, Tennessee
 
Experience: Intermediate
Platform: Ninja / Jigsaw / 9G
Broker: AMP / CQG
Trading: NQ, YM and ES
Posts: 1,588 since Sep 2010
Thanks Given: 4,260
Thanks Received: 2,532


Snoop View Post
So did you throw caution to the wind and take a position? I'm expecting yes.
You had stated you were limiting your risk to $300, so it wouldn't be the craziest move anyone has ever made,
but what were your assumptions to turn $300 into $50k (or even $25k)?

In order

No.... taking a few more hours to at least understand how options work! lol

Not the craziest move by far in this business

An assumption by a novice doing incorrect calculations with not enough coffee...


AJ
Nashville, Tennessee


"Life On The Edge of SR"
Follow me on Twitter Visit my NexusFi Trade Journal Started this thread Reply With Quote
  #47 (permalink)
 
tderrick's Avatar
 tderrick 
Nashville, Tennessee
 
Experience: Intermediate
Platform: Ninja / Jigsaw / 9G
Broker: AMP / CQG
Trading: NQ, YM and ES
Posts: 1,588 since Sep 2010
Thanks Given: 4,260
Thanks Received: 2,532


sam028 View Post
Call 33 March 2011 was quoting $3.00 this morning.
So if you buy this call ($300), and if VZ quotes more than $503 before March 18th, you'll win $50k:
(503 x 100) - $300 = 50.000.
Ok, it's only +1400% of the stock value in 3 month...

Hey... How did you know I placed that call!! ; )


AJ
Nashville, Tennessee


"Life On The Edge of SR"
Follow me on Twitter Visit my NexusFi Trade Journal Started this thread Reply With Quote
  #48 (permalink)
 
tderrick's Avatar
 tderrick 
Nashville, Tennessee
 
Experience: Intermediate
Platform: Ninja / Jigsaw / 9G
Broker: AMP / CQG
Trading: NQ, YM and ES
Posts: 1,588 since Sep 2010
Thanks Given: 4,260
Thanks Received: 2,532

Well... From my brief studies on this event, I think Apple will be the winner in all this.

Verizon will fall for a while until all the numbers come in from the iPhone subsidies.
AT&T should drop a bit.
Google?

So How about some help in a long call in AAPL...

What is the minimum delta I should be looking at for a mild OTM call on say the last contract offered this year...

Would someone recommend a few call contracts to me.


Hey!! I've been reading!! ; )

Thanks again for saving me from some dismal trades, gang.


AJ
Nashville, Tennessee


"Life On The Edge of SR"
Follow me on Twitter Visit my NexusFi Trade Journal Started this thread Reply With Quote
Thanked by:
  #49 (permalink)
 
Fat Tails's Avatar
 Fat Tails 
Berlin, Europe
Market Wizard
 
Experience: Advanced
Platform: NinjaTrader, MultiCharts
Broker: Interactive Brokers
Trading: Keyboard
Posts: 9,888 since Mar 2010
Thanks Given: 4,242
Thanks Received: 27,102


ThatManFromTexas View Post
After the announcement :

Shares in Verizon Communications fell 82 cents, or 2.3 percent, to $35.10 in afternoon trading Tuesday. The shares are still close to a two-year high of $37.70, set last week. Apple shares lost $1.20, or 0.4 percent, to $341.29, while AT&T lost 53 cents, or 1.9 percent, to $27.81.

Buy the rumor, sell the fact.

Reply With Quote
  #50 (permalink)
 
ThatManFromTexas's Avatar
 ThatManFromTexas 
Houston,Tx
 
Experience: Advanced
Platform: NinjaTrader
Broker: Mirus Futures/Zen-Fire
Trading: TF
Posts: 2,265 since Feb 2010
Thanks Given: 1,206
Thanks Received: 4,348



tderrick View Post
Well... From my brief studies on this event, I think Apple will be the winner in all this.

Verizon will fall for a while until all the numbers come in from the iPhone subsidies.
AT&T should drop a bit.
Google?

So How about some help in a long call in AAPL...

What is the minimum delta I should be looking at for a mild OTM call on say the last contract offered this year...

Would someone recommend a few call contracts to me.


Hey!! I've been reading!! ; )

Thanks again for saving me from some dismal trades, gang.

You can be correct about the direction of the underlying stock itself and still not be profitable trading the Options .

Edumacate yursef!

I'm just a simple man trading a simple plan.

My daddy always said, "Every day above ground is a good day!"
Reply With Quote
Thanked by:




Last Updated on April 1, 2011


© 2024 NexusFi™, s.a., All Rights Reserved.
Av Ricardo J. Alfaro, Century Tower, Panama City, Panama, Ph: +507 833-9432 (Panama and Intl), +1 888-312-3001 (USA and Canada)
All information is for educational use only and is not investment advice. There is a substantial risk of loss in trading commodity futures, stocks, options and foreign exchange products. Past performance is not indicative of future results.
About Us - Contact Us - Site Rules, Acceptable Use, and Terms and Conditions - Privacy Policy - Downloads - Top
no new posts