Any options traders here? Want to talk about trading options? Not sure if this thread will go anywhere. If I find even one cool trader in FF who wants to share some good options trading ideas, then I'll be happy.
I am not a very sophisticated options trader - been trading options m/l full time for only the last year or so. I am basically a beginner, but I make money consistently. So, being a greenhorn, I am not out to be anybody's guru. And I'm not looking for one, either. I like learning by doing.
I don't want to spend much time discussing options in general, like, what is an option? why trade options? etc - but I'll get those topics out of the way in this first post. There was another thread about options trading on FF awhile back and that trader laid out some good thoughts for beginners - worth a look if that is you:
http://www.forexfactory.com/showthread.php?t=103256
Also, if you are relatively new to options trading I highly recommend you get on the CBOE website and make use of the free education and trading tools that are there:
http://www.cboe.com/
Some good books to start with:
http://ecx.images-amazon.com/images/...SH20_OU01_.jpg
http://ecx.images-amazon.com/images/...iL._SX225_.jpg
So, wait, dude, this is a forex site, why are you talking about options?
Well, of course you can trade options on anything - stocks, FX, metals, indices, financials, ags - almost anything that trades on the futures and stock exchanges. And, as our friend PayTheLimit used to say, "It's all one trade."
So that's one thing I like about trading options: there's lots of variety available to you if you need or want it. If you're into intermarket analysis as I am, you can always find good trades. But the main reasons I have become m/l an options trader are these:
1) Risk Control: Generally speaking, and for me anyway, trading options has forced me to live within defined risk parameters for every trade. I never, ever have uncontrolled trades anymore. I still get my ass handed to me, and regularly, no doubt, but it's on my terms.
2) Tax purposes: I trade options from multiple accounts. Brokerage accounts and IRA accounts. I am at daytrading level ($25k) on one account and building towards there on the others. What I really like is the idea of trading from the Roth IRA accounts, where all gains are tax-free. I couldn't trade spot fx from the IRA's, but options trading is allowed. There are other ways to beat the taxman, but this is a simple one I have found. So my focus now is on building those Roth accounts.
OK, so enough generalities by way of introduction. If you are doing some options trading, I'd like to hear about what you are looking at.
I am not a very sophisticated options trader - been trading options m/l full time for only the last year or so. I am basically a beginner, but I make money consistently. So, being a greenhorn, I am not out to be anybody's guru. And I'm not looking for one, either. I like learning by doing.
I don't want to spend much time discussing options in general, like, what is an option? why trade options? etc - but I'll get those topics out of the way in this first post. There was another thread about options trading on FF awhile back and that trader laid out some good thoughts for beginners - worth a look if that is you:
http://www.forexfactory.com/showthread.php?t=103256
Also, if you are relatively new to options trading I highly recommend you get on the CBOE website and make use of the free education and trading tools that are there:
http://www.cboe.com/
Some good books to start with:
http://ecx.images-amazon.com/images/...SH20_OU01_.jpg
http://ecx.images-amazon.com/images/...iL._SX225_.jpg
So, wait, dude, this is a forex site, why are you talking about options?
Well, of course you can trade options on anything - stocks, FX, metals, indices, financials, ags - almost anything that trades on the futures and stock exchanges. And, as our friend PayTheLimit used to say, "It's all one trade."
So that's one thing I like about trading options: there's lots of variety available to you if you need or want it. If you're into intermarket analysis as I am, you can always find good trades. But the main reasons I have become m/l an options trader are these:
1) Risk Control: Generally speaking, and for me anyway, trading options has forced me to live within defined risk parameters for every trade. I never, ever have uncontrolled trades anymore. I still get my ass handed to me, and regularly, no doubt, but it's on my terms.
2) Tax purposes: I trade options from multiple accounts. Brokerage accounts and IRA accounts. I am at daytrading level ($25k) on one account and building towards there on the others. What I really like is the idea of trading from the Roth IRA accounts, where all gains are tax-free. I couldn't trade spot fx from the IRA's, but options trading is allowed. There are other ways to beat the taxman, but this is a simple one I have found. So my focus now is on building those Roth accounts.
OK, so enough generalities by way of introduction. If you are doing some options trading, I'd like to hear about what you are looking at.
"If The Fool persists in his Folly he will become wise." - William Blake