Replies to post #1013 on First Majestic Silver Corp. (AG)

[Edge83]

Just play with this calculator http://www.josephsunny.com/finance/option.html

IMO the trick is you want something that potentially has a 50/50 chance of happening and then buy a low priced option (say under $0.25). Some of the options I have bought are only worth a few cents. If you buy an option for 4 cents or 10 cents having it run to even $0.50 is a pretty massive gain.

I just accept that half the time (hopefully) I will lose 100% of my money. I like the risk reward - bc you will know what your downside is but have almost unlimited upside incase of a big event that significantly moves the market on a stock. (Brexit for pound and gold, Wells Fargo Scandal, DB news and fine on them, potentially the US election).

[Edge83]

It's like playing penny stocks but with a fixed amount that you can lose.