FTS Group, Inc.(fka FLIP)

[fran1229]

trade2much:

I used to trade mostly for myself on the floor of PHLX.

I have a small position in ERHE already. Don’t have the capital I used to have, but with a break in FLIP or ERHE I will have a few bullets to play with again.

I like selling the front month calls against the leaps but only on a diagonal. Would prefer to see you own a 30 call in Jan and selling a 42.5 in Jun on a stock you are bullish on that is trading around 40. Your downside is limited, you don’t own a ton of premium, and you can role the front month call up if the stock advances. If the stock should tank you will most likely get a pop in premium (Volatility) that will offset your loss on (Delta).

Depending on your capital, writing options is the right side to be on. (Something I did not always do! I was prone to play the long side and the premium can kill you!)

I friend of mine who never traded options has made a small fortune selling puts on stocks he wants to buy.

Lots of interesting strategies. I know you are better off doing as I say and not as I do or did!

Have a great weekend and I will keep an eye your posts.