|
PureBytes Links
Trading Reference Links
|
Gary,
The problem with the scenario you paint is the data you present is simply
not accurate. 90% of sellers do not make money. Only about 30% of options
expire worthless and almost every 90% analogy I've ever heard does pan out.
The 30% that do expire worthless don't really tell you anything about
profitability.
gary gray wrote:
> Sure!!
>
> Just sell the options... what is that old moldy statistic "90% of option
> BUYERS lose money". Do a study of your own. Pick an option on a security
> or an index and "paper trade" that you sold it on such and such a date
> at xxx price. If you do enough of them and spread the risk (like a
> mutual fund) you'll have tons of cash in no time.
>
> PROBLEMS: You need a fair amount of margin capital
> Ex. To sell 10 OEX's naked (puts or calls) you need
> $100,000 or more.
>
> Individual equities require much less.
>
> The standard ballyhoo: "Oh no that's too risky", "unlimited risk" That's
> just to scare the masses away.
>
> Look at the bottom line... you want to piss away $20,000 to $30,000 in a
> few years "buying options"?
>
> What do insurance companies do? They sell time premium
> (houses, cars, boats, LIVES, etc).
>
> You can do the same thing. SELL premium. That way when a few weeks go by
> and the "stock" does what someone else thinks it will... you will have
> collected their CASH (time premium)and they will wonder why they lost
> $$$ when the "stock" did what they thought it would...
>
> Sound familiar?? :)
>
> --- j sebastian <jrsebastian@xxxxxxxxxxxxx> wrote:
> > I am curious to know if anyone has ever heard of a
> > retail client
> > consistenlty making money in the options market.
> >
> > -----Original Message-----
> > From: THE DOCTOR <droex@xxxxxxxxxxxx>
> > To: RealTraders Discussion Group
> > <realtraders@xxxxxxxxxxxxxx>
> > Date: Wednesday, March 24, 1999 12:11 AM
> > Subject: CBOE Advanced Seminars
> >
> >
> > >I promised I would post details of the new developed
> > >advanced options seminar. This is the first time a
> > seminar
> > >this advanced will be given by the CBOE. The focus
> > will be
> > >trading in a market with rapidly changing
> > volatility, using
> > >and understanding VIX, when not to trade and a
> > number of
> > >other topics will be covered. The details are at
> > www.cboe.
> > >com. Seminar dates and locations are 4/22 at CBOE,
> > 4/24 in
> > >Schamburg, 5/18 Mid-Town New York, 5/20 Greenwich,
> > Conn.,
> > >6/08 L.A. and 6/10 Newport/Newport Costa Mesa. The
> > 2
> > >Chicago area seminars will have market makers and
> > floor
> > >brokers on the program as well. These seminars will
> > have a
> > >$100 fee with a cancellation penalty.
> > >I'll be doing the Mid-Town New York and Greenwich
> > seminars
> > >which occur during expiration week.
> > >
> > >Details are at www.cboe.com
> > >
> >
> >
> >
> >
>
> ===
> Regards,
>
> Gary
>
> The Best Global Telecom Price$
> Guaranteed...
> http://LD.net/?garywgray
> _________________________________________________________
> Do You Yahoo!?
> Get your free @yahoo.com address at http://mail.yahoo.com
|