Replies to post #27485 on Option Millionaires

[stockmania98732]

what if a stock like aapl splits while you have an option going. do you then get the amount of shares according to the split. or do you get screwed?

[VERITAS77]

I recommend paying premiums of:

3% OR LESS <<< for buying options.
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LEAPS....I would try and pay less than 10%, likely 5%. ideally 3% or less.
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And, dabble in them.

300 Dollar positions per option... is probably good.

Once you are playing with the houses money (profits) then... increasing INITIAL call(long) and put(short) positions will be easier.

Less stress of fluctions from +200% to -98% lol. =)

Try limit orders with: entry AND exit pps, after purchased.
THen...
you can re adjust pps exit as NEEDED later.

VERITAS77

[VERITAS77]

Rule of thumb...
buy in 1/3rds.

1000 dollar positions...

buy in

350 , 250 , 400

increments.

(whatever dollar INITIAL positition you start with)/concept.