greg, several points....no where in the paper is the mention of easy money nor have i ever posted that online. i spend the whole first part of the paper advocating building a portfolio of a buy and hold that you would have even if you knew nothing of the dls. then use dls equal to what a buy and hold would be invested. dls is less risk than buy and hold since you are generating monthly income even in a down market. as you said yourself, if you cut corners, leverage, etc you will get burnt by any option strategy. i still like dls and have not dropped it. i've traded short puts way before i developed the dls. its been one of the first strategies i've traded. i think i have always had at least one or two open short puts positions over the last 15 years...drjoe
--- In ConservativeOptionS
>
> I warn the newbies to not dive into DLS. i was eager to make the easy money,
> got involved back in 2007 and lost a BUNCH. I cut corners, as i did not have
> the $100,000 account dr joe says you need. nevertheless, i believe that
> everybody who traded this by the rules (and is still around) is still under
> water...
>
> don't you also think it's a very big clue that dr joe has just recently said
> that he thinks there are better ways to make money (such as selling puts)?
> Didn't his long absence mean anything?
>
> I know when there is uncertainty, we tend to look for leaders to show us the
> way. But to direct newbies to check out this system without a heavy warning,
> seems iresponsible, so pardon me for the friendly warning. i paid my dues.
>
> I am very grateful to Dr Joe for sharing his system development, and for
> this forum. And maybe the market conditions will favor a person starting the
> strategy now, but be warned, there is significant risk of loss of
> significant capital. I am recalling that there is no "stoploss" principle to
> this system. Please correct me if I am wrong. maybe a newbie will tweak the
> system and make it better. i sure don't want to prevent that from
> happening!
>
> just be careful, newbies. be careful. ~greg
>
No comments:
Post a Comment