Thu, Nov 24, 2011 - 5:01am
After nearly losing all my Spread trading cash after Morgue smack-downs, I am done with regular Spreads and have been giving Options a try (Puts and Calls), though I have to admit right away, I find them hard to understand as I have problem with arithmetic.
I have been buying S&P500 January Puts, at the most expensive Strike-Prices I can afford (sometime $700-$800 each), and within a few days each has made over a cool thousand for me, helping recoup some of my earlier losses, but not at break-even yet.
I have been looking a Gold Calls way out to February and note the low prices to buy Gold Calls at around $2000. Each Option costs me around $66 each last time I bought - though now they are slowly rising.
I'm buying more of these each time I make money from the S&P500 Puts - Can I run it past some of you folks' thoughts if I am doing risky business? I feel $2000+ Gold by February next year seems very likely, and these Calls seem a good way to make potentially a lot of money for limited risk.
Just an old dog tryin to get my money back
Edited by: SilverDog on Nov 8, 2014 - 5:31am