Advantages of Selling v Buying Premium

[TheBramble]

I disagree with you Richard. Unless you're pointing at precisely what is factually inaccurate, rather than just implying some post or other is, or isn't, you're not adding as much value as you think you are.

There are many on these boards with a great deal of experience. They walk the walk as you put it AND give generously of their time & effort to give what they know of the markets to others. That is, they also talk their talk - and we're the richer (quite literally in many cases) for it.

All you do in effectively rubbishing these boards is to add fuel to the fire of those who would accuse you of having your own agenda. And that would be a great shame for all of us who welcome and appreciate your factually accurate contributions.

If there are any errors or misconceptions with the points made in this thread, why would you be anything other than pleased to be able to put us straight?

 

[oatman]

most options traders have had hard lives and are battle-scarred - and it comes across in their countenance. (I think it's all those strange forumlas and greeks). That doesn't mean what they have to say should be dismissed. Just need to be a little more thick-skinned when dealing with them.
I've got plenty of scars myself and they don't come much thicker skinned than me either

 

[Mr. Charts]

I am not denigrating these boards. I happen to think t2w is the best though far from perfect. I also think it is much better since the mods have become stricter.
Although I traded options for three years and can recognise "inaccuracies" in posts when I see them, I do not currently trade them. IMO, that precludes me from talking about them or correcting errors in other posts. I will only "speak" about what I do myself. That is my standard.
I would advise anyone starting or inexperienced in options to read Lenny Jordan's book. I'm sure it is mentioned on the options forum.
In my humble opinion, anyone wishing to learn more on this BB about this subject would do well to read contributions by RogerM and china white. There may well be other very valuable contributors, (I personally only glance through a minority of threads), but they strike me as being amongst the best.
I am not normally in the business of going around attacking others or their posts, but occasionally I feel it is necessary to correct "misunderstandings", especially about US stock trading.
However, I do not seek confrontation with anyone, but will react in my own manner at a time and place of my choosing. I prefer that to be constructive, for example dissecting out a grossly misleading posting, though I rarely do that in order to save the person potential embarrassment.
I will continue to make the occasional general comment as and when I choose.
Tony, I trust we can now return to a state of amicable disagreement ;-)
Richard

 

[qaza]

You have a 1:7 probability of making a profit buying premium. A 1:7 probability of being flat, buying premium. And a 5:7 chance of losing, buying premium.

.

Thankyou

BTW where did you get these statistics ?

 

[qaza]

A "warning" sign IS useful and positive on a BB as it is in most areas of life, as are factually accurate posts.

You should be more specific. Are all the posts on this thread inaccurate ?

 

[Mr. Charts]

Certainly not, qaza, but I have made a general comment which you must know is correct. It is not aimed at anybody in particular so I don't see why anyone should get upset about it.
And BTW, I understood your posts 8 and 16 which posed valid and valuable questions.