There is a possibility we go to 1150
Famous trader said there is a possibility we go to 1187
It is evident that there is more than one "reasonable" choice. So what about other choices?. Have you made yours?
Before you do , remember, trading is like picking a path at a laberint: you will achieve something but you will also lose something, by definition.
Assessing potential losses if one is wrong is even more important than assessing how much one will make if being right. Sound obvious, so I am sure everyone of us think about both aspects before entering any trade :)
Great post.
ReplyDeleteA wise trader told me to never use options but I never claimed to be a wise trader.
Front month I've been using Iron Condors and Butterflies as I work my way into my longer term put options. I always sell as many options as I buy so that time works in my favor. I got short volatility a few weeks ago, so I'm net short volatility on the front month and I'm long volatility into December. The short VIX trade has been in profit taking mode and allowed me to short with the comfort I need to sit tight. I have more risk because I'm top picking, so I try to use the market's money.
I'll let ya know if it works :-)
Take care....
I am afraid I only play simple options strats: buy / sell call/ puts and a vertical spread from time to time. But it sounds great .
ReplyDeleteGL