“Well, If you want volatility, my daily trading service for Bond Futures has it, LOL!”
“I just am pointing out that futures trading has that kind of volatility every day.”
So what’s the difference between your service and the market ? I don’t understand..
I want to put the smallest amount of cash up front to realize the biggest gains.. Sure this approach can mean losing 100% of whats invested in the options, but you can lose 100% in a stock too and that would be alot more cash… This approach will allow me to put my safe money into something that I think is solid as metal.. gold… and I can stuff my pillows for an acid rainy day.
“It [newsletter] does not however, have volatility that extreme, unless it is maxed out irresponsibly.”
Are you saying you’re controlling your upside? Wouldn’t you be better off controlling your downside if risk is your concern? Either way, both are impossible…
I also think you’re jumping the gun saying that an option with a 300% gain is snynoymous with irresponsibility. COP(ConocoPhillips) is a 6x earnings stock and it’s NOV 60 calls have doubled in 2.5 weeks.
For anyone else reading that wants to know what the original purpouse of my message was.. it’s my perspective on how to park money, that is to put the least up for risk to try and get the biggest gains. A few weeks ago a respected poster here said they were going to pull the trigger(buy) on COP(ConocPhillips) stock @ $60.. this was the same day another person I know 😉 bought the COP NOV 60 options. I’ll do a quick comparison with abritrary amounts, so if anyone is interested they can compare the 2 scenarios.. stock vs. same stocks options.
Option buyer:
Puts up $5k(arbitrary comparison amount) on 6/6 for 733 COP NOV 60 options at $6.80
Today 7/3 the options are listed @ $9.20.
Net profit if sold now: $6743(current price x # of options) – $5000(cost) = $1743 profit
Stock buyer:
Puts up 14k(arbitrary comparison amount) for 233 shares of COP @ $60:
Today 7/3 the stock price is listed @ $66.82
Net profit if sold now: $15569(current price x # of shares) – $14000(cost) = $1569 profit
With 1/3rd the investment options investor earned about the same profit. To me, that’s reducing your exposure/risk… allowing you to park more money in whatever safe investments you choose.. for me that investment is gold and silver.
If you find a math error sorry.. I’m not anywhere close to perfect 🙂
