Pelican Parts Forums - Counterintuitive Stock Selling

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Quote:

Originally Posted by Craig T (Post 9178712)

It happened within days of the 87 crash,

I bought a butt load GM stock after the crash in 87. That worked out well.

Quote:

Originally Posted by trader220 (Post 9192656)

Why buy the 60 delta call? They inherently under perform their delta as compared to any of the party calls which have to trade 1 for 1 with the stock. If you're just using options to leverage directional guesses in the market then although the 60 delta calls work better than the out of the money (<50 delta), the parity ones are more efficient.

Also if % gains are your goal then the cheap OTM calls will increase in value on a % basis much more, there are obvious drawbacks with them.

Thanks! Now I guess why you're a trader and I screw around for a living!

I bought a .6 because it was the furthest ITM I could afford, with the highest volume and smallest spread. That's all. SmileWavy

Quote:

Originally Posted by trader220 (Post 9192554)

Although I never worked on the retail side... I find it amazing in this day and age and with all the new regulations that there are many retail people who give their broker the ability digression trade their accounts like that.

Oh trust me.

I've been burned, no, incinerated before.

I started slow with this guy.

Took a little time to gain trust.

He's rock solid.

He knows my comfort level and stays within the boundaries my wife and I set.

The reality is some of us have no choice but to find someone like him that we can trust.

Everyone has things they are good at.

The market is something I just don't get and while I've expended considerable effort in the past to try and "get it" it's just not my thing.

I understand the basics of neuro surgery as well and could certainly improve my knowledge but anyone who lets me dig around inside their skull gets what they deserve.:D

Simply put, I'm better off leaving this part of my life to a professional.