Recent content by garethb

The maximum profit of a credit spread is the credit received and occurs when both legs expire worthless. The Maximum loss is the difference in strikes minus the credit received and occurs when both legs are ITM at expiry. If you buy back the sold option you may make a profit on that side due...

Thanks for the explanation. Gareth

I strongly disagree with the idea that a thread starter should have moderation rights over a thread. If there was ever a way to allow scam merchants the opportunity to develop their own agenda on the site unchallenged then that is it. Regards, Gareth

Hi Grey1, thanks for these. Could you give any input on your analysis for these. I assume top down - your overall market analysis says the market is rising. When trying swing trades I try to include sector analysis in the mix as there is more time to think it all through. At the stock level...

Rajibde I think you need to consider the timeframe of the radarscreen line in which you have placed the MACCI Receive. I think the square brackets code will compare the values of each macci now to the value at the last bar end and the one before based on the timeframe of the displaying RS not...

A piece of wooly thinking in the extreme. First "diversification" and "hedging" are bandied about as if they are interchangeable. And then it is recommended to trade a cross rate (only with double the costs - author must be a broker), as an example of what? a hedge?, diversification?, both...

Zeno22 Before distractions of cash vs futures and dividends etc drags it into too much confusion. The maximum value of a vertical spread at expiry is the difference between the strikes. In your example of 1350/1400 spread at expiry it will be worth 50 points if S&P is anywhere above 1400 at...

Unless I'm missunderstanding you, you're talking about a vertical spread yes? eg sell the 1400 call and buy the 1350. Have a think about the overall intrinsic value and it's maximum and minimum value at expiry. Regards, Gareth

"stop hunter is a market player that attempts to trigger the stop orders of other traders for their own benefit" I wouldn't for one moment say that stop hunting doesn't take place in the forex market but for me it is the personification of "stop hunters" which makes me sceptical particularly...

Thanks Grey1 and everybody else for your contributions. Sorry for lack of response, I have been hit by some kind of virus (human not computer) for the last week or so. Now mostly better apart from a cough and am starting to digest the feedback. Thanks Gareth

I quite agree, including your implication that the market is not ruled purely by chance outcomes. The reason for my casino post was that it is frequently stated that the writer of options will have more winning trades than the buyer and that this represents an edge. I was trying to demonstrate...

Yes you can short stocks with Tradestation. Like all US brokers they have a list of stocks available to short which changes from day to day but is a reasonably long list. I like their software but I don't have much to compare it with. bikhod If you genuinely can trade with a US broker and...

A person can walk into a casino and put £1000 on each of 35 of the 36 numbers. He has 35 chances out of 37 of winning and walking away with £1000 profit. The casino only has 2 chances out of 37 of winning. Higher likelihood of a win does not make an edge

I would avoid getting distracted into how sharky organises the FX forums or whether other people are posting well or not. This is just finding excuses. Your document shows that you have started to identify that only you can be responsible for your own trades. Well done! that is an important...

http://www.euronext.com/editorial/0,5371,1732_203409259,00.html I haven't tracked down free prices but this might be a goodplace to start