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Post by theMist on Apr 18, 2018 8:43:11 GMT -5
Good morning All
Watching vix futures after yesterday's expiry
would like to see SCAMS come back up a little with contango rising
looking to short some TVIX
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Post by theMist on Apr 18, 2018 8:45:58 GMT -5
S&P Hourly S&P hitting some gap resistance recent consolidation does resemble a iH&S pattern that measures SP2800 and it is over neckline -- have to see if S&P turns down and backtests neckline still (2675ish)  |
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Post by clinton on Apr 18, 2018 8:48:09 GMT -5
Good Morning
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Post by theMist on Apr 18, 2018 8:51:24 GMT -5
vix futures want to see contango improve further waiting 2 months to see vix futures to settle down  |
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Post by clinton on Apr 18, 2018 8:53:05 GMT -5
so Im trying options for the first time ever
not sure if I fully understand but what the hell
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Post by clinton on Apr 18, 2018 8:54:30 GMT -5
30 day options seem cheap
I guess that gives you 3 weeks to hit your movement
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Post by theMist on Apr 18, 2018 8:56:15 GMT -5
so Im trying options for the first time ever not sure if I fully understand but what the hell if you have any questions, Walnut is the expert who has many years of trading options when he was a broker |
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Post by theMist on Apr 18, 2018 9:01:42 GMT -5
VXX Daily chart Move below VXX 38.24 and should act like a double top (56.50, 53.82) which would put VXX at new all time lows thinking consolidation in this range with possibly a small pop to backtest those moving averages to pull down on them before taking another leg down to retest all time lows we'll see...  |
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Post by clinton on Apr 18, 2018 9:08:13 GMT -5
I need to learn about PUTS
I think I got the concept of calls its pretty straight forward
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Post by clinton on Apr 18, 2018 9:10:11 GMT -5
out of the money puts expire worthless what happens with in the money puts if you dont close your position? I think RH says they close it for you?  at what price?? |
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Post by walnut on Apr 18, 2018 9:12:02 GMT -5
30 day options seem cheap I guess that gives you 3 weeks to hit your movement Good luck, they work when they work lol The only way I ever saw to make money with options at times, is leap options on tech stocks during persistent trending bull markets. I made several clients big gains doing that back in the 90's. Can't seem to replicate it with my own money due to emotional trading. |
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Post by walnut on Apr 18, 2018 9:14:19 GMT -5
out of the money puts expire worthless what happens with in the money puts if you dont close your position? I think RH says they close it for you? at what price?? Always close your positions, don't go through an exercise |
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Post by walnut on Apr 18, 2018 9:25:43 GMT -5
contango dropping back to 1 is not really a good thing, it was supposed to keep going up towards 10. The 2015-2016 correction took a long time for safe contango to come back, like around March or June 2016. Who knows
I'm planning on selling VXX next hourly stoch cycle
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Post by walnut on Apr 18, 2018 10:48:50 GMT -5
Clint- with puts, I assume using your contrarian trading style- you really have to be right. speculative puts are less forgiving than longer term bullish calls. After the much wider bid-ask spread and commission, there is very little room for error.
And options prices are risk adjusted, it is hard to get a good deal on a risk-adjusted basis (the formula uses time and historical volatility). The market makers very seldom give you much of a good deal. That does not matter as much with longer term bullish calls during a bull market.
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at what price??