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Re: rab120 post# 2390

Wednesday, 03/10/2010 8:37:11 PM

Wednesday, March 10, 2010 8:37:11 PM

Post# of 2827
rab120 - Well, since you ask I will answer you. I have to have confirmation before I trade. By that I mean pile in or back up the truck. Today was such a time. I did a day trade on a truckload of calls.
Sometimes before I am sure of a trade I will gamble a little by front running the move I expect. This is called building a position. It is just a few options bought before you back up the truck and go all in.
So in answer to your question, it is both. It is a small % of profits being used to build a position before you have confirmation but you feel like gambling a little by front running the move.
I hope that sheds some light on the situation. If you need more of an explanation let me know and I will try to help.
Once again, I appreciate you interest. Sorry if what I had said confused you. Sometimes I forget not everyone here is a trader.

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