I still dont understand dumb traders. you listen to the hype and get caught. this market is going to drop this week. i just put 1000 bucks on 113 put at .80 cents i will sell this put at 1.20 and make 500 bucks in a week. trade the cycles and get paid. started with 150 bucks at zecco buying and selling the dia. now i have 4300 bucks in one year. look at the techs. it is that easy. short highs, buy lows. i will post again when i make this money.
ok this may get long but it will be worth it. This option style is call short tops and buy bottoms at 1.00 par value. I only trade DIA. I look to play the reverse of what the market is doing. if Dow runs hard i set short or if Dow drops hard i set up long.I not sure how good you are with watching the DOW but it runs up and down. Now with knowing that fact you know normally after big runs or big drops in the DOW you get a pull back or a pop with DOW. It is just the way it swings. Now what I figure is what is the best way to do this because you can make money on the on the pullbacks and pops. So I pull up MACD, TSI, SLOW STOC., ROC, MONEY FLOW, CCI, RSI and support and resis levels. NOW when all these techs. are over bought or over sold I seed the play in the oppsite way. Now you have to know a little about option prices. We never buy any option that is priced over 1.00. ( thats 1.00 par) ok know it seems like a lot but once you get used to it you will get paid. Ok lets set up my last play on DIA and I post the short. All techs said overbought.(check) Market ran hard and could not get over 11450. (check.) ok the 113 put was .80 cents (under 1.00 buck) The market had to pullback. look at the history of the DIA. when all tech i listed are overbought u will at least get a 100 point pull back. that is a 30% to 50% return on the option. check out my next post for the rest. Got to look at charts. think or swim is the best for charts