Monday, September 28, 2009

Re: [TheOptionClub.com] Box option spreads

 

How about to go on vacation?  :)


On Sep 28, 2009, at 7:12 PM, mcatolico wrote:


No. there isn't much of a point in that. If it goes against me I have to look for some other type of trade that at a minimum has some chance at profitability. A box in that case offers nothing but risk mitigation. If that's all I wanted I'm better off just closing the original trade for a loss.

From: OptionClub@yahoogroups.com [mailto:OptionClub@yahoogroups.com] On Behalf Of Paul Seifert
Sent: Monday, September 28, 2009 4:02 PM
To: OptionClub@yahoogroups.com
Subject: Re: [TheOptionClub.com] Box option spreads

 




Have you ever used the boxes to buy some time on a vertical position that is going against you?

----- Original Message -----

From: mcatolico

Sent: Monday, September 28, 2009 4:22 PM

Subject: RE: [TheOptionClub.com] Box option spreads

 

 

Obviously from a retail perspective you have to leg into these to make any money. I still use them as a way to "pause" a successful position when I don't have a clue on what to do next (which is most of the time) but still want to retain an ongoing trade. Example: if long the 100/110 call vertical for $4 debit and the trade goes my way, I might add the 110/100 long put vertical for $5 if I can get it thus locking in a buck or so.  I can then use either or all of the pieces later on as the market moves around to try other things.

From: OptionClub@yahoogroups.com [mailto:OptionClub@yahoogroups.com] On Behalf Of Jay
Sent: Monday, September 28, 2009 9:40 AM
To: OptionClub@yahoogroups.com
Subject: [TheOptionClub.com] Box option spreads





Wondering if anyone has tried this strategy with success. Please share if had or still using  this strategy.











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