Follow posts
What's your favorite play?
Displaying entries 1 - 20 of 24 forum posts in total
12
I hope everyone has checked out the Options Playbook. If you haven't, go take a look. The Playbook is a great how-to for option trading. What's your favorite play to run?
I like puts on the MBI, ABK, and PMI's of the world. I bought my first entry put in MBI yesterday. I plan on buying 2 more contracts monday-tuesday. I think these financials will have a brief rally into DEC 11 fed meeting before resuming the downmove.
I think you are right about the financials. They will head back down after the Fed meeting on the 11th.
BMY to announce big news Friday. I suspect a sale of its Mead Johnson United or a buyout of another company.
I was looking at chart of LEH. Over the past few months this stock looks like it would have been a good candidate for Iron Condor spreads. Am I right on this, or have I missed some criteria that would have nixed that strategy?
I'm long on a June 08 call for MCGC. Recent activity shows that the lows for this stock have subsided and it's only up from there. I predict my call will go ITM and stay there in late January and stay there until expiration.
Depending on what happens between now and the expiration of my June 08 call on MCGC, I'm looking at writing a covered call on my 100 shares, thus creating a bull spread. I'm looking at making at least $250 plus dividends and option premium should the stock go to 15/share this year.
I like the strength in fertilizer stocks. TRA, MOS, CF, and AGU. I play strong trends with ITM Calls and PUTs.
I maintain a watchlist portfolio of "subprime dogs" and as I read about various companies, index funds and index options that will be affected by the subprime meltdown I add them to the list. Then as I take profits and need to make another move I look at the charts, see who hasn't been hurt that bad, who has bounced, and try to research why. I pick the ones with the most potential downside, buy cheap out of the money put options and set a sell price for a 50% to 100% gain. So far my activity has been limited to DHI, CFC & LEH and I'm looking to buy some WM put contracts. I'm also looking for another homebuilder play--the whole sector has had a small bounce lately and I can't quite figure out why.
Im kinda getting my feet wet playing with naked call and puts. Started with 1000 dollars, I put in for a naked put on AAPL a last week and dont think I did that bad. I studied the charts, looking at the RSI and %R which, that I hope I read well enough, ended up making a profit of 400 dollars in one day. Guess it was a good guess for last week. Would like to see if Im reading the Tech Analysis right before making a bigger push. I like Tech stocks. Trying to build a a good cash balance before getting into the other plays. Any advice on tools you guys use is useful. Im trying to teach myself.
I watched both of my long calls on MCGC go ITM today. One expires this month, and the other in June. Hope this nice runup isn't another dead cat bounce.
I can't seem to make headway with straight puts and calls, I win very often and I lose just as often....my account is going nowhere.....I think I am going to shift most of my trading to iron condors which I have had good luck with in the past.....
I like fundamental analysis based partly on the Motley Fools "Hidden Gems" newsletter strategy, a hunt for cash-strong and low-debt small-cap to mid-cap companies with good prospects not based on my personal love of their product mix. I don't go for short term call options on these but like to look a year or so out, depending on the company type. Many don't have options at all, so that eliminates them. Mixed in with these for some balance, I like to go with large-cap and mega-cap company share call options where I think the stock price is unreasonably underpriced.
usually nake puts or calls refers to underwriting the option. sounds like you are buying --
I like to use the volitity calculator.
I like strangles -
and puts and call ladders for options on the s&p (big) 500
I usually go for the iron condors... only on spy and iwm. a lot of volume so i dont have to pay for excessive bid/ask spread... and index etf's are not as volatile as individual stocks. i try for far OTM strike prices. so my target income is about 4% per month. The only downside is that i have to be right 24 out of 25 times, because one wrong guess would cause a 96% loss
The option play book is a great reference. I am partial to the iron condor but will certainly give the new FRO's a try. At the moment, the field for those are new and it will take time to build up the volume.
Credit Spreads are my low risk base.
But I like to trade OTM options on breakout/breakdown stocks.
JB
Credit spreads and selling puts are my favorites, and I use covered calls in IRA's
Straddles on anything and everything.
Displaying entries 1 - 20 of 24 forum posts in total
12
You must Log In to post to this forum.
Not a member? Register Now to …
- See what other traders are doing
- Make your own trades public
- Share your thoughts on a trade
- Join or start a group
- Connect with like-minded traders
