Looking several months or a year down the line, how do you know the option will even be in the money upon expiry? Isn't there a lot of room for volatility?
Read several books... Easy to find...learn how options are priced... The ask more specific questions...
ET usually allows up to 20 questions that could be answered in some effort by the poster with a good book, google or high school level reading.... And everyone wonders why most traders lose money.
Trade shorter timeframe options I don't see why a trader would have to, or want to, wait that long to see how things play out Shorter timeframe options are much more volatile/explosive
Are the numerous newer threads that ask the most basic of basic questions a signal that the "bagholders have arrived"?
LOL. There was absolutely no need for all your patronizing and condescending responses. I was just asking a simple question, though I suppose I should have structured my OP more properly. And not everything can be learnt from books. Infact some are not even worth the paper they are printed on. If this thread gets out of hand, Mods please lock or delete this thread. The only reasonable response in this thread. I have seen some people trade LEAPS and rake in huge profits. What are some explanations as to how they were able to predict the performance at such a long time frames? Or is this essentially the realm of gambling?
i've done very well with Leaps, at least with FB [i had a feeling, and it turned out to be a good one] of course, i'm losing on my BABA & AAPL leaps [so far] it's a hunch, guess, prediction, whatever you want to call it... marc