Questions and Answers

[AstuteShift]

Vanguard doesn't allow me to have both a "stop" price and a "Limit price" on a stock at the same time, giving an error that this could result in a short if both orders executed. Sol has issued several instructions to both put a stop at a lower end AND to sell if a stock hits a particular upper target.

My question is is Vanguard just LAME or does everyone else have to choose whether to issue a stop order or a limit order on these plays? It's a pain in the ass because I have to manually monitor or set alerts outside the system for one or the other.

Thanks.

I use the app called stock alarm which just gives alerts and also you can write notes on the stops and limit prices. 20 a month but worth it compared to using my broker (TDA), since I’m not always on the computer

[Eric]

Do you have "conditional" orders? That's what TDAmeritrade calls them... If ____ then ____.
If the BID on XYZ is above $76 (<---Condition--Order--->), then enter a limit order to sell 50 shares at $77
If the ASK on XYZ is below $45, then enter a limit order to sell 50 shares at $45

[AstuteShift]

Do you have "conditional" orders? That's what TDAmeritrade calls them... If ____ then ____.
If the BID on XYZ is above $76 (<---Condition--Order--->), then enter a limit order to sell 50 shares at $77
If the ASK on XYZ is below $45, then enter a limit order to sell 50 shares at $45

I do more complicated option spreads on my trades but I do have those for the plays that are not from the USA (AI plays)

[SOL]

Sol, if we are slowly getting out of options (on the assumption a correction may be on the horizon), why do we have orders to buy two new options (BSX and USAK), both of which have been massive losses for us. and one of which (USAK) only has until April (4 MONTHS) to hit a strike price that seems unlikely based on recent history? These plays seem counterintuitive. Thanks in advance.

Option plays are high-risk plays and at times (ocassionaly) we will take on more risk. The patterns on BSX and USAK both are interesting and like HIMX and KEY both suddenly took off one or both these stocks could do the same on short notice.

Having said that every time you get into options plays, understand you are playing with fire and you can't always win. The idea should not always be to win but to win more than you lose. When it comes to options you need to look at it like one big game.

[Budge]

The idea should not always be to win but to win more than you lose. When it comes to options you need to look at it like one big game.

I suppose it's a bit like the stock market in general.

[Triplethought]

Sol, if we are slowly getting out of options (on the assumption a correction may be on the horizon), why do we have orders to buy two new options (BSX and USAK), both of which have been massive losses for us. and one of which (USAK) only has until April (4 MONTHS) to hit a strike price that seems unlikely based on recent history? These plays seem counterintuitive. Thanks in advance.

Option plays are high-risk plays and at times (ocassionaly) we will take on more risk. The patterns on BSX and USAK both are interesting and like HIMX and KEY both suddenly took off one or both these stocks could do the same on short notice.

Having said that every time you get into options plays, understand you are playing with fire and you can't always win. The idea should not always be to win but to win more than you lose. When it comes to options you need to look at it like one big game.

You are right Since I joined in July I have yet to have a loss on a single play so I'm getting a little spoiled.

I'm in for a penny in for a pound. I bought the second lot of BSX this morning at $1.35. And lo and behold USAK finally popped up a little. I mean up 46% today is nothing to sneeze at. maybe it will run. Let's GO team.

[Triplethought]

Do you have "conditional" orders? That's what TDAmeritrade calls them... If ____ then ____.
If the BID on XYZ is above $76 (<---Condition--Order--->), then enter a limit order to sell 50 shares at $77
If the ASK on XYZ is below $45, then enter a limit order to sell 50 shares at $45

Nope. No conditional orders. As I suspected Vanguard rat F*@&s me again. Thanks all.

[AstuteShift]

I think the plays will do fine. BSX has plenty of time and USAK tends to have explosive moves up.

Both the option contracts are cheap so just keep your risk low.

It’s so popular now for the masses to go nuts on options, however 99.999 percent of them lose big

[Yodean]

From about the 09:00 timestamp, a good 2-3 minutes about how institutions manipulate (Level 2 analysis only, not Level 4, so I will still use the word "manipulate" ) options to fleece the retail investor:

https://youtu.be/WfZNw8lUdo0?t=536

[Triplethought]

From about the 09:00 timestamp, a good 2-3 minutes about how institutions manipulate (Level 2 analysis only, not Level 4, so I will still use the word "manipulate" ) options to fleece the retail investor:

https://youtu.be/WfZNw8lUdo0?t=536

HOLY COW

[AstuteShift]

This is nothing new, selling puts or put spreads on a bull market is monster gains

This is being a market maker and with MP, you can easily churn profit routinely when markets are tanking. However it takes big balls and no fear. Options are not for noobies

[Yodean]

HOLY COW

Options = The Dark Side of the Force

Young Anakin, beware the Dark side of the Force ... it is powerful and seductive, but also dangerous.

[SOL]

HOLY COW

Options = The Dark Side of the Force

Young Anakin, beware the Dark side of the Force ... it is powerful and seductive, but also dangerous.

If you want to add humour you could add, and it has long legs and a very enticing smile hahaha and then it does a medusa on you

[jimwill]

I think the plays will do fine. BSX has plenty of time and USAK tends to have explosive moves up.

Both the option contracts are cheap so just keep your risk low.

It’s so popular now for the masses to go nuts on options, however 99.999 percent of them lose big

I bought USAK options back in September. With four months to go until expiration, at what point do we sell at a loss instead of letting them expire worthless?

[AstuteShift]

I think the plays will do fine. BSX has plenty of time and USAK tends to have explosive moves up.

Both the option contracts are cheap so just keep your risk low.

It’s so popular now for the masses to go nuts on options, however 99.999 percent of them lose big

I bought USAK options back in September. With four months to go until expiration, at what point do we sell at a loss instead of letting them expire worthless?

Depends on your trading plan. For plays in red, I usually wait for SOLs opinion. Also don’t bet the house on them. It’s very easy to get illusioned to option gains and get addicted to them. Remember that when you win, someone else is losing, the equation always goes to balance out