Small Account

Discussion in 'Options' started by chyldom, Jul 7, 2019.

  1. ironchef

    ironchef

    Some donate their time to the soup kitchen and some to food banks.

    Others try to help us poor retail traders stay sober, like going to AA meetings. :D
     
    #71     Jul 14, 2019
    Baozi likes this.
  2. Pkay

    Pkay

    Interesting. That seems like a very simple approach. Would you not use any other indicators like RSI or macd? What sort of instruments would you advocate using this 180ma approach? Many thanks.
     
    #72     Jul 22, 2019
  3. smallfil

    smallfil

    It is 100 day EMA not 180 MA which is a different moving average. You can use individual stocks but, with a limited capital, use the QQQ since, the indexes have longer trends which would make them better trading candidates for this strategy. Using multiple indicators would just confuse you without making the trading system better. This is for longer term, position trading to grow your capital without taking stupid risks.
     
    #73     Jul 22, 2019
  4. Pkay

    Pkay

    Beautiful great post. I think you are right. Don't trade options until you are profitable in an instrument that is easier. Eg stocks. I like your point 4 about modelling. It was only when I did this that excel that I understood how debit and credit spreads worked.
     
    #74     Jul 22, 2019
    ironchef likes this.
  5. ironchef

    ironchef

    There is hope for you sir.

    I firmly believe you cannot do anything successfully without first understand how things work. For example, if you go through the logic of option pricing and come to understand the no arbitrage principle of pricing, you will find certain behaviors intriguing, you can vary the underlying parameters and see how price behaves..... I will quote my mentor @murray t turtle: Not a prediction. :D:):cool:
     
    #75     Jul 22, 2019
    Pkay likes this.