The Options Box

[bbgold]

"Too Good to be True!"
Yes, I have seen a lot of examples of trades that look too good to be true and usually are. If I had looked a little closer to be able to see the strike month on the contracts I was buying I am sure that I Never would have made the trade. My new trading software has the smallest print I have ever seen. The symbols and quotes are Ok to read but not the strike months. I will have to see if there is a way that I can change the font size.

I always try to point out that anyone wishing to make a trade should stick to a stock that they are familiar with also. I certainly did not do that with QLGC as I had only followed it's trading occassionally. I Definitely was not familiar with it's Options quotes and strike prices. That is one of the reasons that I post the DJX Options quotes every day on the MKTSS board. Being familiar with the quotes and how they move with the market can Sometimes point out when there is a disparity between the Market and the Options quote. Like Friday when the Calls were trading at such a High Premium compared to where the market was at. Anyone able to sell Naked Calls that were projecting the market back to 8600 would have made a nice profit on Friday, and possibly on Monday also #msg-422836. I was reading an Email from Investmenthouse.com and the "too Good to be True" trading might come into view again tomorrow. They are looking for a Possible 500 point drop in the Dow for Monday. If that does indeed happen then there will be a Lot of Good Deals out there. Any continuation of the Drop though could change the profitability of a lot of those 'good deals'. If we do get a continuation of this market Slide on Monday I will indeed become very Alarmed!
I hope that you and your daughter are doing Well Fred!
Sincerely, Bob :^)

Good Luck to All! :^)
PLAN the TRADE and TRADE the PLAN!