Bull Put Spreads for Beginners

Discussion in 'Options' started by OptionsOops, Apr 22, 2007.

  1. I guess what you are saying is you want to make as much money as possible highly leveraged with no or little risk.

    Again, why do you think you can come to the park now and invent something no one has ever thought of before? reason is that it does not exist. Highly leveraged is high risk...

    As long as we are asking for fantasy scenarios, I want an ATM long straddle for $0.10 on the indexes with 9 months to expiration. Kind of like what you are asking for.

    Sorry but reality is a bee ach lol.

    If you want to be highly leveraged than take some risk....


     
    #31     Apr 23, 2007
  2. hopback

    hopback

    Buy t-bills (1-5% margin depending on your broker)

    Use the excess equity for your option strategies.

    back spread your outright longs to reduce cost. (if pricing allows it)

    the treasuries will give you a little cushion since you seem very concerned about interest.
     
    #32     Apr 23, 2007
  3. hopback

    hopback

    maybe I should specify that you should only use cash in your acct to buy the bills.

    don't create a debit balance
     
    #33     Apr 23, 2007
  4. MTE

    MTE

    Here's another highly leveraged idea.

    Put the cash into t-bills and then use them as performance bonds (i.e. margin) to load up on the index futures.

    Unfortunately, this is also very high risk.
     
    #34     Apr 24, 2007