TLS Campaign

[Student of Gann]

Low indicated for 20th August with Main Trend up till 28th October . Looking to purchase 3 month ATM call options on Monday morning so hopefully price will be stable enough for entry .

 

[Austwide]

@Student of Gann I am new to these EW? cycles looking forward at prices.

In an effort to understand, working through your curve sketch raises a question that on the 1/9 it goes down 4.75%, then up 11.125%, then down 9.75% to the 19/10.
This would make the price pretty much even on the 1/9 and 19/10 dates.

Just guessing I would have thought the later date would have required a higher value than the earlier date as the sketch (not intended to be accurate) displays.

A pointer in the right direction would be appreciated.

 

[Student of Gann]

Thanks Austwide

This is Gann not Elliot although they came from the same Time . The Market Curve is based on past Cycles and the amplitude of the price swings are measured in relation to this data . Time is the Main Factor and when Time is up it will overbalance both space and volume . Once this point is reached the position of price in relation to the Geometric Angles and within The Square will become clearer .

 

[Student of Gann]

In position : TLS 19th Nov Call
3.10 Strike . 10 1/2 cents .

 

[Austwide]

@Student of Gann I see there are many books on Gann methods. I would like to read up on them, is there a book that you would recommend?

 

[Student of Gann]

All His books

 

[Student of Gann]

Hi Cutz and others could you please assist me with an options question . I purchased 1310 contracts of TLSFI8 at .1050 and it shows a debit of 13,990.00 . shouldnt the transaction details look like this . if I paid .1050 cents X 100 it would equal 10.50 per contract x 1310 lots equals 13,755.00 but on my statement it says debit 13,990.00 which I have to check if that remainder has been credited to my bank account . so the above transaction should read 100 lots at .1050 is equal to 10.50 per contract times 1310 contracts equates to 13,755.00 so there is a shortfall of 185.00 which should be credited back to my account . also I was wondering why they couldn't use that remaining 185.00 to purchase another 17 contracts or is an even number required thanks . Grant

 

[cutz]

Hi Grant.

What about brokerage and clearing fees ? Is the $13,990.00 all inclusive ?

Not sure I fully understand your question, $13755 checks out for the 1310 contracts not including brokerage and fees, even number of contracts is not required.

 

[Student of Gann]

thanks that what I thought . He said I didn't have enough to bring the trade up to a certain point . 14,000 subtract 50.00 approx transaction fee equals 13,950.00 . I don't think you can trade uneven amounts which is why my transaction was limited to that amount . 13,950.00 / 10.50 would give me 1328 contracts which is an uneven number so they probably estimated the minimum no of contracts I could purchase on that amount

 

[cutz]

No worries,

I'm not aware of restrictions on odd lots, any number of contracts can be traded.

Just checked $187.33 in clearing house fees ($0.143 x 1310), brokerage at .34%, that brings you up to the total you quoted.

 

[Student of Gann]

thanks that's very helpful . last time I did the order over the phone had 14k in the account minus 50.00 brokerage which gave me 13950 but he said I could only purchase 1310 contracts on that amount . I don't know why I couldn't use the remaining 195.00 to purchase another 18 contracts or even round it down to 15 contracts ? will try again tomorrow . thanks

 

[Student of Gann]

ok thanks . clearing house fees ?? not familiar with that maybe because it's over 10k

 

[cutz]

ok thanks . clearing house fees ?? not familiar with that maybe because it's over 10k

No.

Charged regardless of lot size,

That's why I don't bother with low value options, IMO if you wanna obtain a particular delta with telstra you're better off going deep in the money with less contracts depending if you can get decent fills there.

https://www.asx.com.au/about/cost-of-trading-options.htm#:~:text=ASX Clear charges a transaction fee of $0.13,a fee of $0.05 plus GST per contract.

 

[Student of Gann]

thanks I was considering purchasing another 6k tomorrow but not sure if the fees are that expensive . what do you think the costs would look like on a 6k trade in the same option code

 

[cutz]

thanks I was considering purchasing another 6k tomorrow but not sure if the fees are that expensive . what do you think the costs would look like on a 6k trade in the same option code

Who's your broker so I can work it out ?

Based on a standard Aussie big four bank rip off broker charging huge fees you can buy another 560 contracts, at $0.105 per contract, $80.08 clearing fees, $35 brokerage.

 

[Student of Gann]

Westpac , I might do an internet trade which is about 50.00 ? from recollection . I guess 120.00 all up is ok on a 6k trade . thanks for alerting me to the clearance fees , that accounts for the missing figures and clears the transaction details up . Regards Grant

 

[cutz]

Hi @Student of Gann

Not sure if I should disclose this but I actually followed your long gamma trade by going in myself, more so to try something new, position was underwater for most of my holding period, actually came good this week, gamma went through the roof, closed out for a tidy profit.

How did you go ? Your position was considerably larger, guess you would have cleaned up ?

Thanks mate,

I'll take back what I said about low value options ..