InvestorsHub Logo
Followers 13
Posts 2463
Boards Moderated 1
Alias Born 02/23/2002

Re: AIMster post# 34338

Wednesday, 04/06/2011 1:38:55 PM

Wednesday, April 06, 2011 1:38:55 PM

Post# of 47138
Aimster
Has anyone thought of a way to AIM options? I'm thinking income stream

I did. My reasoning was that you can AIM anything that has a variable value. In principle that is of course still valid.

Buy options and other derivatives, as you have already aware of, of course, run down to zero in a generally predictable way, and the exceptions are not predictable without having your nose and ear in the market.

For example if a (deep diver)^2 on the share value suddenly reverses strongly on the bottom at penny stock value most likely you might already have bailed out. . .Consider Dico International (Bed Manufacturing):

I was playing that one on the penny stock values of a few cents and then on account of the news about the "bankruptcy" proceedings I just dropped it as I figured it was a lost cause. . .just lost some trading costs. . .no big deal.

Then a little while ago just after the Earth Quake & Tsunami in Japan the penny stock went to the tree-tops to € 5:

1-3-2011/ 0,0600
2-3-2011/ 0,0700
3-3-2011/ 0,0700
4-3-2011/ 0,0800
7-3-2011/ 0,0800
8-3-2011/ 0,0700
9-3-2011/ 0,0700
10-3-2011/ 4,55
11-3-2011/ 4,55
14-3-2011 / 3,50
15-3-2011 / 2,95
16-3-2011 / 3,03
17-3-2011/ 3,35
18-3-2011/ 3,84
21-3-2011/ 4,30
22-3-2011/ 4,50
23-3-2011/ 4,40
24-3-2011/ 4,40
25-3-2011/ 4,30
28-3-2011 / 4,40
29-3-2011/ 4,50
30-3-2011/ 4,46
31-3-2011/ 5,00
1-4-2011/ 4,97
4-4-2011/ 4,75
5-4-2011/ 4,75

Maybe the shaking in Japan woke up some people J

Possibly this Revival was due on account of the disaster potential in Japan . . .all of a sudden there was a market for beds ,and someone started up the production for exporting bed, or for all I know the factory was already in Japan, or in China. . .the details are irrelevant now. . .I have not investigated this so it is speculation but it is a likely scenario. . .typically for a “IF I HAD. . .” story

Even on the share value I could have made a killing^2 IF I would have sat out the penny stock investment I had in late 2010. . . but I didn't.

With options bought on the 9th of March 2011 for a pittance the Killing would have been tremendous. . .I did not check out the IF-figures.

The point here is that for such events AIM is useless as AIM is focused on long term cycling of solid equities so that you can afford not to look at e market for long periods.

To take advantage of opportunities like DICO you need to be on top of things and have a nose end ear for the opportunities and act quickly. . .investing would have to be a daily activity for one to catch the “flying bird eagle”. If you AIM an Option and you see it go to zero value as most options do at some point and you have no "feel" and "connection" for what is happening in the market then you will, like I did, simply bail out. Occasionally people hang on to penny stocks (I have done hat too) and let it ride, taking the change it might one day Blow UP.

Either way. . for that Method you do not need AIM a all. . you can simply invest in such cases “as they appear in your scope” with the expertise for this you have in your head. . .

AIM is for Sissies. . . . smile

Hahaha. . .IAM a Sissy now!




Conrad Winkelman
What is Vortex AIMing? Look for my Vortex Discussion Forum:
http://investorshub.advfn.com/boards/board.asp?board_id=1341

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.