quote:Originally posted by milliam: Thanks for the info Chart. I'll have to read over that a few times to get it though. Will you still be doing some plays, using this new stuff, here on the board? That would be awesome!
Sherri...great call on CROX. Did you get in on it?
Nope, but thanks....was just looking at the $70 price tag and wanted to cry I still think it will go even higher as the summer goes on...
-------------------- Study before you buy, Sell before you think about it.... Posts: 3903 | From: Gulf Coast | Registered: Jun 2006
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It looks like the weekly chart is finally topping out here. I'm pretty leary of buying more puts on the Qs, but now looks like the time. I need to make some money back from all of the other puts I've been hanging onto for way too long.
I'm looking at the Sept. 45 puts.
Posts: 1027 | From: Georgia | Registered: Jul 2005
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The MACD is just getting to negative territory, and the stochastic is trying very hard to be oversold. The question, of course, is if this is really a downturn, or another 3 day "correction".
-------------------- drysider
My advice is worth exactly what you paid me for it.... Posts: 30 | From: Liberty Lake WA | Registered: Apr 2007
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I think that the negative vibes from hoping for a downturn work against buying puts....at least thats my story and I'm sticking to it. I'll wait to buy calls and root for the home team.
-------------------- drysider
My advice is worth exactly what you paid me for it.... Posts: 30 | From: Liberty Lake WA | Registered: Apr 2007
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quote:Originally posted by drysider: I think that the negative vibes from hoping for a downturn work against buying puts....at least thats my story and I'm sticking to it. I'll wait to buy calls and root for the home team.
Sounds like a good story to me - the puts are just comical at this point. The charts are ready for a downturn, but the index is not.
-------------------- Study before you buy, Sell before you think about it.... Posts: 3903 | From: Gulf Coast | Registered: Jun 2006
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I have a question that may be too general or simple to answer but here goes. What makes an option move? What are the fundamental, underlying factors that usually make one move one way or the other? I've seen some options that when the stock price drop, the option doesn't move at all. Sometimes it move a lot down and then other times it has inched up. What gives?
Posts: 21 | From: Atlanta | Registered: Aug 2005
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My best answer for you is two things - the time involved and the stock price. I have QQQQ June puts and Q Oct calls right now. The price of Q has gone up nearly $1 since I bought, but little to no price movement on my options. My QQQQ options on the other hand have deteriorated quickly because the price of the stock has moved slightly, but the time to expiration is coming sooner.
The rest I think is simply volume on the options and trading interest.
Anyone else care to take a stab?
-------------------- Study before you buy, Sell before you think about it.... Posts: 3903 | From: Gulf Coast | Registered: Jun 2006
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Well, you've got your supply and demand as usual, and I'm sure there's some greek symbol that also shows why options move.
I'd say its all about time and in/out of the money (as Sherri said). An option that is just a little out of the money, but only has a few days can move huge if the underlying stock moves towards that option going into the money. So an option's worth can increase quickly due to time, but its got to be close or in the money too.
Usually, the more time, the slower the movement.
Do you still have those examples you were looking at?
Posts: 1027 | From: Georgia | Registered: Jul 2005
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I don't know about you guys but my June 43 puts are killing me. I hope we have a strong move soon to bring me atleast back close to even.
Posts: 21 | From: Atlanta | Registered: Aug 2005
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Here's an option I had on my screener (didn't own though ). Its a May AQNT 35 call. It was pretty much done-for until yesterday when the stock made a decent move up to put it back in the money. The option moved about 800% that day. The stock closed in the money at $35.87 and the option closed at .90 (up from .10).
Well, it looks like Microsoft is buying these guys for $60+ a share. The stock is going to open up in the $63's today. This is the last day for this option, but its going to open over $28 in the money!
Posts: 1027 | From: Georgia | Registered: Jul 2005
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Holy Smoly....those are the ones we wish we owned...just like Amazon and Crox before their fins came out. I'm thinking we need to start a thread for weekly "what's coming" stuff so we can note the big stocks with news, etc. coming that week and review charts, etc.
Thoughts?
-------------------- Study before you buy, Sell before you think about it.... Posts: 3903 | From: Gulf Coast | Registered: Jun 2006
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I'm not new here, but decided to eliminate all but one penny play and try my hand at options. The information I've read on this board has been nothing short of awesome so thanks to all.
I did find one option that might interest everyone here - ALGN. After reading the Motley boards and looking at the gallery view, I think a put might be in order here. JMO as I'm still learning how options work.
Best to all.
Posts: 199 | From: Tennessee | Registered: Apr 2006
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Well, I got my re-awake up call for keeping to my stop-loss setups. My May Q puts expired worthless .
Posts: 1027 | From: Georgia | Registered: Jul 2005
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I still think it will go even higher as the summer goes on...
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