trade247

Exactly hope they corrected it for you

so whats the direction you think on this @cheviot ? and same to be applied to Wall St?

SECOND THIS! don't know much on the second part.

talk me thru that

of course.... The 27120 Call booking at 221 (up 2.2x so £220 running profit from ~ £100 risk) The 26680 Put quoting 23 (off 75% or so, so a running loss of £77 on ~ £100 risk)

nice idea so it would link to this price?

look at it this way - the prem of the strike 100 points above at 26780 are at 130.5 so assuming the current market was there (all other things being equal) you could reasonably assume the premium of the one we traded at 26680 would be about 130, which is a 30% return on your initial risk. So it doesn't need to move significantly for the position to still make money. hope that makes sense

As the 12300 is so far OTM they may scratch that - the prem hasn't moved. The 13300 is obviously ATM now with prems all over the shop so I doubt they'd fill you on an old price, especially as market has pulled off since then so the prem on puts should have increased. But still - I'd be surprised if they didn't reverse the first one.

breakeven would be 26680 - 101 = 26579 however the premium of the option can increase without that happening.

but yes it still can increase in premium value before if there is a rally in your favour

what strike?

yes you could have done this as well your max risk would have been the 80 and the 50 = 130 quid total, and the NET profit would have been the 820 profit on the put, minus the 130, so NET PROFIT of 690 quid on a 130 quid risk. Not bad.

Following on from this post I made a few days ago I decided to show one of my options trades yesterday on Wall Street as an option with a daily expiry. I thought we would have a short term swing and see a rally (before plummeting again) so I bought the call. Turns out it didn't go so well but I only lost 80 quid on a CALL on a market which fell 800+ and I was dealing £1 a point which wasn't too bad in my eyes! I also posted a PUT trade a couple of posts down which ended up 820 quid from a £50 risk. Not bad (if you had called the direction right ) so probably worth doing again. Lets look at the US and do another? But risking £100 as it's early on in the day. Or we can look just before US open and see what's occurring. If you think the market will rally you could buy the call at A (103.6) If you think the market will fall you could buy the call at B (101.1) both of these are daily options. as you're buying you cant lose more than that trade size, and given the moves we've seen that's the trade for me right now. DAX down 2% but wall street not seeing it right now only down 0.6%, so I'm going with the PUT today. Waiting for retail to wake up and get scared.

on mobile so wont screenshot but that 27900 is at 820, seven minutes before the close. Good job if anyone traded it. meanwhile I'm only 80 quid down which given the move.... I can live with

my trade is so far gone you have to laugh - look ho many worthless options above me 28100 strike - its unreal. At 7.30pm we're looking like this. That 27900 put though is storming at 780 points (up from 50!). Bet of 50 quid for a 15.6x increase. I (would have) like(d) those returns. BUT im staying optimistic. Risk has been managed on a crazy crazy day.

to put into perspective … whose up for catching a falling knife?

true. scores on the doors before I think about going home are.... The call I actually bought (and the put I should have bought )

I also imagine lots of people trying to trade the swing (bUt tHe DoW hAs HarDly EvER hAd a gAp DoWn aNd ThEn nOt rAlLiEd) but have then been caught out and had to sell to close didn't help. and the mom and pops selling on the open and

fortunes to be made and lost today my friend whats your trade?

update. my punt is now basically worthless. positives im down ONLY 80 quid, not 495 which the market has **** off today since 2.30 it's only Tuesday that 27900 PUT, if you had traded it on the outset (basically the same trade but the other direction) you would be £250 up. So good job if anyone did that my fee is only 10% happy trading folks. Manage that risk it a mad market right now. will try and update later.

trade them I would guess? obviously they can see all the volumes so an increase in volume probably shows increase demand. there are all the big boys tho, FTSE, dow, DAX, euro dollar and other major FX. Oil and gold, but yes they are looking a little thin there.

you could be trading this then £80 risk ALSO look at the PUT 27900 in the original image when it was at 50, now it's at 150. Triple your risk money in the first hour of trading, with only £50 maximum risk (and 150 profit now - not looking at spread either). power of options hey.

update: wall street getting slammed! the 28100 strike is now at 27/33, however I'm only 47 quid down right now. If I was trading £1 on wall street spread bet i'd be £230

oh this is a straight punt and hope for the best. Downside move is likely to be less than upside I would think, and buying an option is max risk of the premium so won't get stopped out. can hold until 9pm , and only need a 120 point or 0.4% move up to make money. which I feel isn't much. Plus only 80 quid to get into the trade rather than 5% which is 1400 on a regular spread bet.

god knows which way it's going to go. But i'm happy to risk £80.30 on a trade like this. buying a daily call at 28100 strike so making money if wall street settled above 28180.3 in a market like this who knows what gonna happen so it's all you can do. lets see where it settles.