Sorry! I may not explained clearly. I mean big drug stocks. You can look at PPH components. I only buy call options of value stocks like MRK & PFE. They are good to me
Sorry to hear about that. As soon as I make this statement I will get bombarded by posts from IB supporters. I have heard A LOT of complaints about IB. Problem is, their customer service is HORRIBLE. If you read through the reviews on this sight you'll notice that even many of the people that like IB say that the customer service is the pits. My opinion, if you are getting a lot of complaints, you'd better have good CS to field those complaints and correct them. For options, I'm with TOS. Great customer service. Very fast execution. Great margin structure. No limitations on trading levels. And their options platform is at least as good as IB, if not better. They lack on two accounts. IB allows trading of more instruments. TOS really only excels at options and stocks, but they are getting better at futures and such. TOS is considerably more expensive than IB when trading few contracts per trade. However, I think they still allow you to adopt the fee schedule of others such as IB.
Hi all, Decided to join the party... A prospect I'll be watching closely on Monday is HIBB. A steady long-term uptrend, which has recovered nicely after a dip in late summer. Posted a 52-week high yesterday. Today, gapped down $2 to a very strong support level and the buyers pushed it right back up to the 50 SMA. Assuming support holds there should be a nice $2-3 move up, then a shorter term resistance, beyond which it's just blue skies... Another one I'll be watching closely is TLAB. Another nicely uptrending stock that posted a 52 week high yesterday. Recent cross to the upside of the 50 SMA over the 200 SMA on the weekly chart. The telecommunications industry has got off to a flying start in 2006. Today was a high volume day on a dark candle with a long lower shadow that bounced off support. If monday confirms the role reversal there's potential for a very nice move with no upside cap til 18.43. Well that's my take on things at any rate!
I think POOL and CPTS look promising too. I'm a huge fan of constructive criticism, so feel free to tear apart my neophyte analysis. That invitation is open to everyone.
Rereading these posts decided this would be more appropriate in the journal section. Hope I didn't disrupt the flow of your post. Happy trading.
I would have guessed that IB prohibits you from drawing down margin requirements and therefore would not have let you buy the call. Am I misunderstanding something? Don
Looking at AAPL and RIMM. Both broke through resistence Friday. Might make a pretty good bullish trade. I'm a little concerned that they were carried by a bullish run in the overall market and that once that momentum dies out, they will reverse quickly. They are looking pretty strong though. If they will drop back down a bit to give me at least 75% potential ROE then I will make the jump. I don't have enough bullish plays right now, so I could use these to balance out a bit. Took profits on my PAAS play last Friday. Turned out great. Wasn't worth sticking it out for a couple more weeks. Might have to reverse my DJX. Still think COF is weak so I'll probably ride this one out, hopefully for a 6 week 90% profit. Happy trading everyone.
A sufficient decrease in net liq after the option purchase could trigger a margin call were there positions with any variation margin.
I use thinkorswim for option trading. I am currently selling the apr out of the money vertical calls on AMZN. My goal is for the options to become worthless. The problem is that there will be an earnings report before the expiration. My goal to decrease earnings related risk is to buy straddles sometime before earnings. However, instead of an exact straddle, it will be for 5 points higher and 5 points lower than the market price of AMZN when I purchase the straddle to decrease the cost of the straddle. As an option trader, I will sometimes do directional trades, straddles, and sell verticals or even naked options.