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Re: Conrad post# 36290

Friday, 02/15/2013 1:59:39 PM

Friday, February 15, 2013 1:59:39 PM

Post# of 47147
Hi Conrad,

I found it interesting that you are selling options. I know that, as a seller, time decay works in your favor, but AIM / AIM like systems are not designed to go short.

In the past, I've thought about using long options rather than stocks with my "Stock Trading Riches" system (these thoughts would probably also apply to AIM and Vortex as well).

My thoughts would be that:

1. You would initially purchase options as far out as possible.

2. Every time your system gave you a buy signal, you would buy the amount using options as far out as possible (rather than buying the same expiration that you did originally).

3. When you got a sell signal, you would sell the options that were the closest to expiration.

4. If any batch of options were getting close to expiration, you would sell them and buy enough far out expiration options to keep the total value the same.

Praveen Puri
Author of "Stock Trading Riches"
The Stock Trading Riches System discussion board: http://investorshub.advfn.com/boards/board.aspx?board_id=19287

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