why don''t people just sell options instead of trading minis?

Discussion in 'Index Futures' started by tradelosses, Sep 25, 2016.

  1. Financial products do what they are supposed to do when the market moves, that is what derivatives do. Silly to argue which is better since it depends on how you trade to make money, not the product.
     
    #51     Sep 28, 2016
    isotope likes this.

  2. so I should buy snake oil courses from Nasdaq trader who never has losses /only posts profits . then I should make money on t2w forum , by drinking snake oil.
     
    #52     Sep 28, 2016
  3. dsch11

    dsch11

    Using IG Markets? Fancy..
     
    #53     Oct 1, 2016
  4. mpdxc

    mpdxc

    After having tried and lost using options years ago, I would only use options on an intraday basis and use puts to short a stock. I'm never going back to spreads again. One time I couldn't get out of a leg in a butterfly. And they decided to exercise it on me days later and it became a much greater loss. Also, there is a limited window to take profits. Close to expiration day depending on volatility, the pricing you may have thought you were going to get when closing a trade, projected days or weeks back, can disappear quick after the market open.
     
    Last edited: Oct 3, 2016
    #54     Oct 3, 2016
  5. charts.jpg
     
    #55     Oct 3, 2016
  6. Buy1Sell2

    Buy1Sell2

    No. ---- Commissions make it a negative sum game.
     
    #56     Oct 3, 2016
  7. Buy1Sell2

    Buy1Sell2

    80% of options expire worthless.
     
    #57     Oct 3, 2016
  8. find ways to get premium decays(edge) , think outside the box/outside the option formula
     
    #58     Oct 3, 2016
  9. Buy1Sell2

    Buy1Sell2

    Options and trading in general are negative sum games due to commissions. Time/premium decay have nothing to do with that.
     
    #59     Oct 3, 2016
  10. so buy atm , why so negative?

    constructive : 80% of atm straddles expire itm
     
    #60     Oct 3, 2016