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Bought to Open ZCW AZ at 0.55

pman1972 posted on 03/12/08 at 08:58 AM (Note posted about 9 hours after the trade)
Trades | Notes | Blogs
Users Bought (30 Days) 0 (0%)
Users Sold (30 Days) 0 (0%)
Market Cap 0
52-Week High 0.00
52-Week Low 0.00
10 Day Volume 0
P/E 0.00
EPS (Trailing 12 Mos.) 0.0
1Day 5Day 1Mo 3Mo 6Mo 1Yr

Transaction: Bought to Open
Symbol: ZCW AZ
Quantity: Not Shared
Price: $0.55
Value: $Not Shared.
Stop Order: No @ $N/A
Target Price: $0.00

I took the plunge.  I sold CPST a few days ago ticked off that I made a hasty decision in purchasing.  I lost about 20% (lucky for me, I only had like 30 shares).

Well after I did some homework, I honestly feel that this company has potential.  So I decided to buy an call option with an expiration date of Jan '09.  This give me PLENTY of time to feel this thing out.

The benefit of call options is that I can only lose what I put into it, but have unlimited gain potential.  I don't have to worry about losing 20% of my money.  The really good news is, I only have to pay the cost of the option, not the cost of actually purchasing the shares.  Purchasing options and executing options are not the same thing and is probably the #1 reason newbies (like me) avoided diving in.

I learned this interesting tidbit reading the beginner forum!  Thanks guys for breaking it down to a 3rd grade level!

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Posted by pman1972 on 03/12/08 at 08:58 AM

Tag It | 1 user tagged it: ZCW AZ, option, buyopen, CPST, first time option

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Stockbuyer

Member since: Dec 07
Trades Not Shared
Trade Notes 2
Blog Posts 7
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Age: 30's
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Posted March 12, 2008 (09:47AM)
It takes guevos to jump into something new. I applaud you for that. Keep it up. I had read an article of an experiment that they did with some 3rd graders. They had the 3rd graders pick stocks and compared their gains to the S & P 500. Guess what; the third graders came out on top.
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