Why Is The Obvious Not So Obvious?

Discussion in 'Risk Management' started by nysestocks, Jan 25, 2009.

  1. M4-1

    M4-1

    will i get out now..:)

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    #7681     Jul 6, 2021
  2. M4-1

    M4-1

    ...

    watch the next ding dong..

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    #7682     Jul 6, 2021
  3. M4-1

    M4-1

    well..time for walk with dogs :)
     
    #7683     Jul 6, 2021
  4. M4-1

    M4-1

    even the road sign is still saying up :)

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    #7684     Jul 6, 2021
  5. Ed48

    Ed48

    In March 2020, like other stock markets, the FTSE crashed from 7,500 to 5,000. It rebounded to 6,500 in June, and then proceeded to start falling again.

    When it got to 6,000 in July, a guy I know was utterly convinced the bear market had resumed. So certain was he that he bought $250,000 of OTM put options (yes, quarter of a million). He would only make money if the FTSE fell to 4,500 by November.

    The FTSE hit a low of 5,500 before going back up.

    I, and others, implored him to consider getting out of the position. But he wouldn't listen and he hung on until the options expired worthless. :wtf:
     
    #7685     Jul 6, 2021
  6. M4-1

    M4-1

    ...

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    #7686     Jul 6, 2021
  7. M4-1

    M4-1

    ...

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    #7687     Jul 6, 2021
  8. M4-1

    M4-1

    ...

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    #7688     Jul 6, 2021
  9. M4-1

    M4-1

    ...

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    #7689     Jul 6, 2021
  10. M4-1

    M4-1

    dope..the money is made selling puts..not buying them !!
     
    #7690     Jul 6, 2021