Plain Vanilla Options Trades.

It is time to put an end to all the nonsense.

This thread is dedicated to the topic of writing plain vanilla options on the FTSE 100 INDEX, and logging of results, in series.

The number crunch having been completed this evening, on Thursday 25th January I shall write the following naked options:~

FTSE INDEX Apr. 6025 PUTS ~ 5 contracts

Thursday 25th January 2007 is the chosen day. The time at which it will be carried out depends on the market conditions unfolding on that day.

This will be a naked put, and a live trade, and not a paper trade. I will guarantee I will make a profit, and not a loss before expiry date, and the loser will be the buyer.

Is this enough notice for you ducatti ?

I am even willing to take bets at even money except in the case of Profitaker, who has placed me on ignore, and for this reason the weighting in his case is hereby set at 3 to 1.
Someone might venture to tell him.

I am therefore offering him treble reward in the event that I turn out to be wrong and he turns out to be right,

Wizard of Odds, let us see you take this bet.:cheesy:

In order to maximise the premium, timing is of the essence and I will be annonouncing details as and when appropriate.

Before this trade is effected I am very interested to hear from members who are subscibed to the Writers versus Buyers thread~ Who has the Edge ?

I am interested to have your votes as to who has the edge, the writers or the buyers ?

Both Andycan and CYOF and myself are still waiting for a satisfactory reply to post 411 on that thread...preferably this century...as life is too short to have to wait to the next.

I am interested to have your votes in advance of the trade being placed and the closing time is 0800 hours Thursday morning. Any other member is also welcome to vote as well.

It would be very interesting to see all members who posted or are posting or intend to post on that thread participating in this vote.

All those in favour of the writers having the edge please post W.

All those in favour ot the buyers having the edge please post B.

Space is available below for you to post your votes until the closing time on the appointed date, to coincide with the opening of the market on that day, Thursday 25th January 2007.

Thank you.

SOCRATES said:

All those in favour of the writers having the edge please post W.

All those in favour ot the buyers having the edge please post B.

[/b]

Click to expand...

Most people seam to be arguing that NEITHER W or B has an intrinsic edge, do you propose to add a third category ? or is it the old, "if your not with us your against us" stance ?

regards
zupcon

No, not at all; it is a straightforward question... yes... or ....no... that's all.
Those who know, know...and those who don't know....don't. Simple.

Answers in advance of the event if you please.

Fence sitting not allowed this time round, sorry.

W

WWWWWWWWWWWWWWWWWwwwwwwwwwwwwwwwwwwww


Charlton

SOCRATES said:

It is time to put an end to all the nonsense.

This thread is dedicated to the topic of writing plain vanilla options on the FTSE 100 INDEX, and logging of results, in series.

The number crunch having been completed this evening, on Thursday 25th January I shall write the following naked options:~

FTSE INDEX Apr. 6025 PUTS ~ 5 contracts

Thursday 25th January 2007 is the chosen day. The time at which it will be carried out depends on the market conditions unfolding on that day.

This will be a naked put, and a live trade, and not a paper trade. I will guarantee I will make a profit, and not a loss before expiry date, and the loser will be the buyer.

Is this enough notice for you ducatti ?

I am even willing to take bets at even money except in the case of Profitaker, who has placed me on ignore, and for this reason the weighting in his case is hereby set at 3 to 1.
Someone might venture to tell him.

I am therefore offering him treble reward in the event that I turn out to be wrong and he turns out to be right,

Wizard of Odds, let us see you take this bet.:cheesy:

In order to maximise the premium, timing is of the essence and I will be annonouncing details as and when appropriate.

Before this trade is effected I am very interested to hear from members who are subscibed to the Writers versus Buyers thread~ Who has the Edge ?

I am interested to have your votes as to who has the edge, the writers or the buyers ?

Both Andycan and CYOF and myself are still waiting for a satisfactory reply to post 411 on that thread...preferably this century...as life is too short to have to wait to the next.

I am interested to have your votes in advance of the trade being placed and the closing time is 0800 hours Thursday morning. Any other member is also welcome to vote as well.

It would be very interesting to see all members who posted or are posting or intend to post on that thread participating in this vote.

All those in favour of the writers having the edge please post W.

All those in favour ot the buyers having the edge please post B.

Space is available below for you to post your votes until the closing time on the appointed date, to coincide with the opening of the market on that day, Thursday 25th January 2007.

Thank you.

Click to expand...

Socrates, you amaze me! This must be the first time that I have ever seen you stick your neck out. Makes me decidedly suspicious but warms me towards you, somewhat, provided that there is no hidden trap for little sparrows.

Personally, I am quite sure that you are right, for reasons that I have, already, expressed i.e writing is the name of the option game, but naked on the index is a move that I would not have expected from you.

I would not do it for the risk argument but I wish you luck and the odds are that you will win.

Split

Splitlink said:

Socrates, you amaze me! This must be the first time that I have ever seen you stick your neck out. Makes me decidedly suspicious but warms me towards you, somewhat, provided that there is no hidden trap for little sparrows.

Personally, I am quite sure that you are right, for reasons that I have, already, expressed i.e writing is the name of the option game, but naked on the index is a move that I would not have expected from you.

I would not do it for the risk argument but I wish you luck and the odds are that you will win.

Split

Click to expand...

Thank you Spitty....I am commencing operations right now...fed up with being criticised all the time...so it is time to show teeth...he he

Selling 5 June 6025 puts price order is in ...waiting..... limit 135

We will call this A.

SOCRATES said:

It is time to put an end to all the nonsense.

This thread is dedicated to the topic of writing plain vanilla options on the FTSE 100 INDEX, and logging of results, in series.

Click to expand...

At last!!

I think you will earn more kudos for this than for anything else.

Go for it Socrates, and best of luck.

EDIT: I vote a big fat W.

I think somebody needs to look up the word "guarantee" in the english dictionary before it's used in the context of writing naked puts. The statement is categorically wrong !

Profitaker said:

I think somebody needs to look up the word "guarantee" in the english dictionary before it's used in the context of writing naked puts. The statement is categorically wrong !

Click to expand...

Well, we can't have everything

Split

SOCRATES said:

Thank you Spitty....I am commencing operations right now...fed up with being criticised all the time...so it is time to show teeth...he he

Selling 5 June 6025 puts price order is in ...waiting..... limit 135

We will call this A.

Click to expand...

Don't go mad, man, just because I've given you pat on the head

SOCRATES said:

This will be a naked put, and a live trade, and not a paper trade. I will guarantee I will make a profit, and not a loss before expiry date, and the loser will be the buyer.

Click to expand...

But there is no guarantee that at no point during the trade there will be a notional loss.
Would be helpful if you also posted the margin requirement.

Profitaker said:

I think somebody needs to look up the word "guarantee" in the english dictionary before it's used in the context of writing naked puts. The statement is categorically wrong !

Click to expand...

Now, how many times does it have to be repeated!

There are only two answers to this SIMPLE poll - and they are:

W = WRITER

or

B = BUYER

HOW MUCH CLEARER CAN IT BE????????

So, as I already know that this trade is going to work, it is probably not correct for me to vote, but as I am an equal, the same as everyone else, I will vote.

MY ANSWER = W for WRITER

and for those that may be still a little confused:

MY ANSWER IN NOT = B for BUYER

And Socrates, please do not show them how to hedge correctly, for they do not deserve it, and that edge is indeed only kept for another place - you know what I mean of course.

Following this trade by yourself, I may also do one, time permitting, as this is a very good opportunity to show the difference between INSPIRATION and ART, and the ART part, been of course, relating to, THE REAL ART OF TRADING.

But then again, I may not, for as you rightly say, it is only given to those who deserve it, and it is not just given because someone just decides to ask for it.

I have learned a lot from you from good friend, and I am happy to say, that ALL of what I have learned, is indeed FACTUAL and TRUTHFUL.

It is, in my own words, the correct recipe for TRADING MASTERY.

Thank You.

W !!!
Good on you, Socrates ;-)
Richard

CYOF said:

And Socrates, please do not show them how to hedge correctly, for they do not deserve it, and that edge is indeed only kept for another place - you know what I mean of course.

Click to expand...

Socrates staed in his first post that "This thread is dedicated to the topic of writing plain vanilla options on the FTSE 100 INDEX, and logging of results, in series."

So, to my mind that means no hedging. This is a plain vanilla write unless Socrates says different.

A Dashing Blade said:

Socrates staed in his first post that "This thread is dedicated to the topic of writing plain vanilla options on the FTSE 100 INDEX, and logging of results, in series."

So, to my mind that means no hedging. This is a plain vanilla write unless Socrates says different.

Click to expand...

Yes, but as Andycan noted, Socrates might just be getting carried away, a little bit, so I thought that a little reminder might not go astray, just in case we see an avalanche of interested parties, many of whom, may not be suited at all.

This information is indeed not for all - but we have been trying to tell you all that for ages now, and i just wan't to make sure that Socrates is not getting soft in his old age

How much margin would you need for that?

Split

trendie said:

At last!!

I think you will earn more kudos for this than for anything else.

Go for it Socrates, and best of luck.

Click to expand...

Yes......you watch.......there is no such thing as luck in trading,......... but there is know how and nerve........all this just to show ducatti and profitaker and any other detractor who dares to pop his head above the parapet to me for that matter.....lets rock and roll....let me have your vote asap...also thanks for your good wishes....and since you wish me well I advise you not to bet against me.....:cheesy: ....incidentally the Thursday trade as announced last night is still on.

Trade A.. (as above).still waiting for quotation.

Latest:~


5 June 6025 FTSE INDEX puts .@ filled. Time..10.01.....limit cancelled... bid129.5 ..accepted.

Denomination: £ Sterling

(5 X 10 X 129.5 = £6475= ) This is trade A now running...

CYOF said:

Yes, but as Andycan noted, Socrates might just be getting carried away, a little bit, so I thought that a little reminder might not go astray, just in case we see an avalanche of interested parties, many of whom, may not be suited at all.

This information is indeed not for all - but we have been trying to tell you all that for ages now, and i just wan't to make sure that Socrates is not getting soft in his old age

Click to expand...

Lord, and you are the one to tell him?

Latest...

Another one on the cards because of market conditions:~

Same option...Writing another 5 FTSE 6025 puts @ 131..pending..

This one will be trade B

( 5 X 131 X 10 = £ 6550)

now waiting.....