[Boards: 3 / a / aco / adv / an / asp / b / bant / biz / c / can / cgl / ck / cm / co / cock / d / diy / e / fa / fap / fit / fitlit / g / gd / gif / h / hc / his / hm / hr / i / ic / int / jp / k / lgbt / lit / m / mlp / mlpol / mo / mtv / mu / n / news / o / out / outsoc / p / po / pol / qa / qst / r / r9k / s / s4s / sci / soc / sp / spa / t / tg / toy / trash / trv / tv / u / v / vg / vint / vip / vp / vr / w / wg / wsg / wsr / x / y ] [Search | Free Show | Home]

Suppose you know with 100% probability what the direction a stock

This is a blue board which means that it's for everybody (Safe For Work content only). If you see any adult content, please report it.

Thread replies: 9
Thread images: 4

File: 1407583029752.png (51KB, 240x232px) Image search: [Google]
1407583029752.png
51KB, 240x232px
Suppose you know with 100% probability what the direction a stock price is going to take but you don't know WHAT price its going to be at or by WHEN, how would you go about trading this to make max gains?
>>
File: 1456000596492.jpg (100KB, 856x907px) Image search: [Google]
1456000596492.jpg
100KB, 856x907px
>>1113788
buying call or put options on margin?
>>
>>1113788
If you know it's going to go up and keep on going up, just use a somewhat strict trailing stop.

It won't be the most optimal profit, but it will be within a couple of percent of it as long as the stock does not fluctuate too much going up.
>>
>max gains

Write [call or put] options at the current price point and use the money to buy some [put or call] options on the stock. Make sure you don't accidentally write the one you should have bought or buy the one you should have written.
>>
>>1113788
if i knew 100% that the stock is going to go up or down in the next 5-15 minutes i would trade binary options. all you need to get right is the direction the price moves before expiry.

finding a binary option broker that isnt run by scam artists is the hard part.
>>
File: gangster.jpg (73KB, 640x474px) Image search: [Google]
gangster.jpg
73KB, 640x474px
just buy call or put with ~30 days to expiration.. if you need more time then sell and buy it again another 30 days out a week before expiration

agreed about writing (shorting) options.. lowering cost basis good but that usually requires higher permissions and takes longer to get.. binary options? nigger pls y u so fancy

SO it sounds like OP has a stock tip for us so tell us now faggot
>>
File: 1388042681109.jpg (186KB, 902x768px) Image search: [Google]
1388042681109.jpg
186KB, 902x768px
I'd tell everyone here on /biz/ to buy it, and after they dont believe me i'd make a '[insert people who didnt buy what i told them to buy] on suicide watch' thread
>>
guys gotta get in on this LNCO
http://www.cnbc.com/id/49438008
>>
>>1113798
Options aren't guaranteed to move in the same direction as the underlying security. I got burned by this once (thought AMD stock would jump on higher than expected earnings, it did, the call I had bought went *down* in value). However, the value of a futures contract will always move in the direction of the underlying security.
Thread posts: 9
Thread images: 4


[Boards: 3 / a / aco / adv / an / asp / b / bant / biz / c / can / cgl / ck / cm / co / cock / d / diy / e / fa / fap / fit / fitlit / g / gd / gif / h / hc / his / hm / hr / i / ic / int / jp / k / lgbt / lit / m / mlp / mlpol / mo / mtv / mu / n / news / o / out / outsoc / p / po / pol / qa / qst / r / r9k / s / s4s / sci / soc / sp / spa / t / tg / toy / trash / trv / tv / u / v / vg / vint / vip / vp / vr / w / wg / wsg / wsr / x / y] [Search | Top | Home]

I'm aware that Imgur.com will stop allowing adult images since 15th of May. I'm taking actions to backup as much data as possible.
Read more on this topic here - https://archived.moe/talk/thread/1694/


If you need a post removed click on it's [Report] button and follow the instruction.
DMCA Content Takedown via dmca.com
All images are hosted on imgur.com.
If you like this website please support us by donating with Bitcoins at 16mKtbZiwW52BLkibtCr8jUg2KVUMTxVQ5
All trademarks and copyrights on this page are owned by their respective parties.
Images uploaded are the responsibility of the Poster. Comments are owned by the Poster.
This is a 4chan archive - all of the content originated from that site.
This means that RandomArchive shows their content, archived.
If you need information for a Poster - contact them.