Warrants vs. Options vs. Other Instruments

[wayneL]

Re: Warrants v Options v other instruments

hello,


"But generally the active option player is a trader as opposed to an investor" WayneL

I'm sure the trader/investor is looking for the same thing here - money

looked into condor option spreads on the S&P500 with futures broker but found brokerage too high in Aus and risk too high for payoff

if taking both legs, yes you cannot be down on both

i guess you look for the sideways trend

thers's a few people promoting this technique, indextra and optioneer etc in Melbourne with them linked fairly closely with brokers

been reading about options for several years , looked at books at bookshop but found most info on the internet

just a bit of luck if you had Westfield or other I guess

thankyou
robots

Hi Robots,

Commission is certainly a factor with these spreads, being 4 legs. I pay $2 per futures contract, so not really a big factor for me.

People often look at the raw risk/reward ratio of these spreads without looking at probability. Also defensive manouvering is a necessary part of this strategy. One may be required to shift the goalposts as necessary.

Legging in may enhance profitability also.

Most info in books and on internet sites is just raw strategy, with no guide as to the successful implementation and defence.

cheers

 

[wayneL]

Re: Warrants v Options v other instruments

thers's a few people promoting this technique, indextra and optioneer etc in Melbourne with them linked fairly closely with brokers

FWIW

Checked these two organisations out. Couldn't get past indextra cause of password protection.

Optioneer was interesting in that the strategy they are promoting is not strictly a condor. The construction IMO adds needless complexity to the payoff diagram and actually decreases profit in the area of highest probability. Unless

Unless there are some defensive considerations I'm not seeing, it looks like a gratuitous effort to look clever to me. \/

 

[robots]

Re: Warrants v Options v other instruments

hello,

which is why it would be good to see "option strategy" traders show these trades and manipulation which may or may not be required as the strategy continues to expiry or exit

indextra is spoken about every sunday morning on 3MP at 7.30am (in Melbourne), I went to his introductory one on one session

he represents Tricom Futures Services

his system is based on small returns but many repetitions

looked to me like a condor option spread arrangement, with him continually talking about insurance

traded on S&P500, wanted 10k for "training" and around 120 per month for "data"

thankyou
robots

 

[RichKid]

Re: Warrants v Options v other instruments

FWIW

Checked these two organisations out. Couldn't get past indextra cause of password protection.

Optioneer was interesting in that the strategy they are promoting is not strictly a condor. The construction IMO adds needless complexity to the payoff diagram and actually decreases profit in the area of highest probability. Unless

Unless there are some defensive considerations I'm not seeing, it looks like a gratuitous effort to look clever to me. \/

....Emmm, looking at that diagram they should call the strategy 'The Batman'- see the outline? Good one for you Wayne, only comes out at night.

 

[wayneL]

Re: Warrants v Options v other instruments

looked to me like a condor option spread arrangement, with him continually talking about insurance

traded on S&P500, wanted 10k for "training" and around 120 per month for "data"

thankyou
robots

10k huh?

******BS ALARM******* (Thats for the course not you Robots)

It's amazing what some people will fork out. TSK TSK

 

[wayneL]

Re: Warrants v Options v other instruments

....Emmm, looking at that diagram they should call the strategy 'The Batman'- see the outline? Good one for you Wayne, only comes out at night.

Haha I was thinking the same thing.

I like the name, not the strategy though. I'll stick with the Che Guevara stuff!