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Originally Posted by premier3is
Anyone buy the Zoom call contracts which netted 5000%+ in 1 day? Missed out but wish I did, fml.
Wish there was an options thread. Trading stocks gets boring as fuck short term when I've been averaging 100%+ returns in a few days recently in options on most contracts. Is there seriously no one here who trades derivatives?
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I do 90% options. All my stocks are in my Vanguard account that I have an auto contribution every month and never look at it.
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Originally Posted by BimmerDimmer6
I don't understand them. Isn't your loss Infiniti? And upside capped at (x) amount?
I wish I was smart enough to understand them because I'd probably play a little.
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Quote:
Originally Posted by premier3is
Actually most of the time it's the opposite, x amount to lose and infinite gains lol. Really depends on how you play the position. Typically most don't trade the infinite loss contracts which is called a naked call. This is where you write the call and collect a premium for it (what the buyer pays) and make money as the stock falls. If it goes up, then you are going to be liable for that and can lose an infinite amount since stocks have no cap where they can go "up".
You can hedge your positions though through spreads. The naked call is the riskiest position you can take in options to be in lol. If you want to learn, look into basic long calls and understand how it works, I'm sure you'll pick it up fairly quick and you can build up from there.
Naked calls and puts, condors, straddles, butterflies, vertical spreads (which I trade mainly.. bull call spreads) are all advanced strategies so once you learn the basics you can try those out after understanding how options work in greater depth.
It's just a lot to write out to teach here, maybe try YouTube videos or try tastytrade for options (good learning tool). Then use a paper trading account to apply what you've learned and test out some trades!
One of my Tesla calls 3 weeks ago cost me 5k and at peak was worth 40k in 1 week. Did I sell, no I got greedy. Still green but not near 40k lol.
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Me and you both lol. I was up 400%+ on my WMT calls today. Sold them for around 200% gain instead. Not too stressed about it, went into inverse ETF's instead for the next couple of days.
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Originally Posted by TheRussski
Great sale going on today, I think it will continue into tomorrow...looking to get Microsoft, Square, Nvidia, Docusign, ARKW, XLK and add little to my Paypal, Apple and Tesla
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I'd wait till Tuesday to see which way things are headed. Typically September is a choppy month.