InvestorsHub Logo
Followers 117
Posts 33453
Boards Moderated 3
Alias Born 10/22/2007

Re: None

Friday, 10/02/2009 8:41:31 AM

Friday, October 02, 2009 8:41:31 AM

Post# of 10237
ax, so if you would consider trading Munich RE for example would you buy the stock or the option ???

Scenario:
Stock one month target from 111->123€ / around 10% ?
Option would go from 0.16->0.39€ / around 100%+ ?

Lets say you buy 2000€ stock and make 10% thats 200€ profit -20€ for the tradin/out.

Lets say you buy 500€ options and make 100% thats 500€ profit -20€ for the tradin/out.
(2000€ options would make 1980€ profit, but i would not dare that..not yet..LOL)

180€ profit with trading the Stock
480€ profit with 1/4 money invested rather than trading the stock..
1980€ profit trading the options with same amount of money invested like trading the stock..
what would you choose ?

Did this help you ?
Maybe Veritas can add some points here cuz he is the master of the Options...i am only a trainee still..LOL !!!! wink


Longterm Investment, Biotechs & High Yield Dividend Stocks ... #board-11828

Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.