Discussion in 'Options' started by dqtmg2, Nov 29, 2006.
Any thoughts on the viability of http://radioactive.websitewizard.com/sketch.html ?
"Enter the Married Put Strategy, the only method that bets on the sure thing"
So, you'd like to buy calls?
There's no difference between the "married put" and buying a simple call.
His strategy is more than married puts- he combines them with selling calls or other strategies, just substituting the married put for the long call part of the spread. The big downside I see is a married put requires a lot more initial cost than a long call, which has a big effect on return %.
You can substitute all you want it doesn't make any difference at all. Married put=long call! Unless you hold the stock for the long term or some other purpose, trading a married put is inferior to a simple call, assuming no arbitrage of course. It's double the commissions, double the slippage and more capital intensive.
For a longer discussion which (of course) devolved into a flame war...
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