LONG since the open yesterday, result: I GOT RAPED!!! please read carefully

Discussion in 'Trading' started by caddyshack2006, Aug 17, 2007.

  1. Nice post.

    So I'm guessing:
    in a very high volitility market, if one expects both a large move higher and a big fall in volitity one is better off selling puts rather than buying calls - since the fall in volatilty will work against the long call and in favor of the short put?
     
    #11     Aug 17, 2007
  2. Yes, along that train of thought. No substitute for understanding the variables and risk management of such trades though.

    :D

     
    #12     Aug 17, 2007