|
PureBytes Links
Trading Reference Links
|
> Von: Bill Wynne [mailto:tradewynne@xxxxxxxxxxx]
> Seriously, and back on topic, my point is there is no free lunch. You
> *might* lose smaller amounts more often using options, or larger amounts
> less often not using them. I'm not saying they are bad, just that there
> is risk there too, and everyone needs to balance it for themselves.
That's for sure - no free lunch. You know, what I like about options is not
only the safety aspect, but, even more than that, their versatility. You
can, with very little risk, "lie in ambush" for months on end, waiting for a
move to occur; and even if your expectations are not fulfilled, you can
usually implement a repair strategy that retrieves part of your premium. Or
you can establish a position that will make money whether the price of the
underlying falls or remains the same or rises (only it mustn't rise too far
too fast). Endless possibilities!
> Moreover, IMHO, it is trading skill that is key.
I feel that way, too. The skill of the craftsman is more important than the
quality of his tools (even though these are also important).
> I saw a video once about wind-surfing there: it looked cold.
It is most of the time. But summers are real nice at the North Sea, and the
Gulf Stream warms the water just right - at least by my standards! <g>
Take care,
Michael Suesserott
|