IronMan Wrote: ------------------------------------------------------- > > Are you taking joy in someone else losing money? > That’s great Joey. You must feel strong as bull. Isn’t that how you started this thread? Calling the other side of the option a chump? Options are a zero sum game. For you to make money somebody has to lose. Not trying to be a jerk but you can’t call somebody else on the same thing you were doing.
I’m not taking any joy in you losing money. I do like watching people learn things and there are quite a few lessons in this. You probably don’t want to turn to the next chapter for the lesson on gamma though. Edit: Anyway, you’re down like $600. If that matters to you, you shouldn’t be selling option on 70 vol stocks.
Right I’m down 600 as of now. If market keeps doing, I’m going to get doinked on this trade. And my GS put as well.
whew! thank you market rally!
I’m not a huge technical guy, but the fact that GOOG touched $310 twice so far and there is no proof of a trend reversal, i guarantee you techies are betting on $310 or less.
MattLikesAnalysis Wrote: ------------------------------------------------------- > I’m not a huge technical guy, but the fact that > GOOG touched $310 twice so far and there is no > proof of a trend reversal, i guarantee you techies > are betting on $310 or less. GOOG touched 310? Umm when? The low in the last 52 weeks is 328.98 on Oct. 9.
last time it was below 310 was this time of the year in 2005… this thread is going to be great to watch until the expiration date.
Can someone sum up in a nice way so that a 13 year old can understand (me) whats going on here?
IronMan sold a put on Goog with a strike of 300 expiring 11/20 (or close, whatever). He got 4.10/share for selling that put. Since an equity put is on 100 shares, he collects $410. He needs to keep $6000 or so in his margin account as a deposit in case the trade goes deeply against him. So far this is all good and okay, except that he called the people who bought it “Chumps”. Since many of us are ambivalent about which side of the trade we would be on, that got everyone going; in a slightly different reality IronMan might be calling us chumps. So we decided to kick sand in his face. Now Goog has moved against him and at one point today he was down $600 on the trade. The puts he sold for $4 are selling for $10, so the people he sold them to aren’t chumps. Since we are all insecure, we decided to pile on him a little more. IronMan fought back which made us want to kick more sand in his face. At the end of the day, IronMan took a stand and made a trade. It was probably riskier than he thought because of the nasty margin calls they give you when the position goes against you. It may not matter at all that these options expire out of the money. IronMan may be closed out by the end of the day tomorrow when he can’t or won’t make the margin call. That would probably cause us to kick more sand in his face, even though we shouldn’t.
Reading this thread was like a ray of sunshine on my crappy day.
very nice! whats a put?
In fact, I have Goog at 323 right now, so I doubt IronMan makes it through the day. He’s going to have to come up with a couple of thousand bucks today if he wants to hold on. Ouch.
Wow. November 20 is far away. I was thinking Nov 1 was expiration.
he’s #ucked
LOL guess I’m hosed. I sent 2k for today and have 2.1k hitting on Monday. That’s where it ends for me so hopefully the margin calls won’t break those limits.
This thread made me realize I only know options on a limited basis (through L2) in an academic realm. I dont know anything about how these work in the real world. At least it’s not my thousand dollar lesson though. I hope this is money you can afford to lose Ironman.
psn0706 Wrote: ------------------------------------------------------- > This thread made me realize I only know options on > a limited basis (through L2) in an academic realm. > I dont know anything about how these work in the > real world. At least it’s not my thousand dollar > lesson though. I hope this is money you can > afford to lose Ironman. Yeah I can afford to lose it. I wouldn’t like to lose it but that’s life. I can’t believe we’re down this much!! Geezus f*c$%# krist.
Out on the horizon, a freighter is moving north. “Well, at least we haven’t shut down all the businesses”, Joey thinks. In troubled times, he has always gone to the sea shore. Lie back and hear the waves and know that their rhythm started long before there were stock markets and courts and will continue long after his children’s children are gone. But this time, Joey looks at his feet. Slowly he starts grinding his right foot in the ground until it is nearly buried. A hermit crab runs right over Joey’s buried foot. A thin smile runs across his face. He chuckles “Perfect” as he shifts his weight to his unburied foot. Here comes IronMan…
Do you guys think I should cover this fvcker?
My Thomson One says Annual Low of 309.44… I guess you can’t trust your trading platforms. Anyway, I’d suggest selling that put before this rally fizzles IronMan. Don’t be a hoper, be a doer 