Hitting a wall with options and debating trading futures

[RPEX]

look i don't really care what you call them. I used the word tool in this instance to make it more descriptive in terms of what i was trying to say with respect to the OP's doubts about his strategy. Obviously you have spent some time finding credible sources which call derivatives asset classes congrats consider me bested or whatever. Personally i still call them contracts rather than assets, in the sense that you can't say "well derivatives had a good year" in the same way as people say "equities/commodities had a good year" or in the same way as you compile an index for assets. So that's what i mean by some morons on here who consider all derivatives/options to be the root of their problems, as if it is one kind of product.

 

[RPEX]

So, wikipedia does not count because it was probably put together by a Bangalore wannabe. Allrighty then how about ISDA?
ISDA - International Swaps and Derivatives Association, Inc.
Or DTCC?
DTCC › DTCC Launches Repositories For Two OTC Derivatives Classes
Interactive Data?
Interactive Data: Asset Class Coverage: Derivatives
Cantor Fitzgerald?
BGC Voice and Electronic Brokerage

Hang on, that ISDA link is what i've been trying to say even if i've proven myself incapable of articulating it:

so go to the link it says "over the past three decades, the OTC derivatives markets have expanded across asset classes" then lists the assets classes which have otc derivatives on them. That is what i mean, it lists

equity derivs; credit derivs; fx derivs etc.
As opposed to 'equities; credit; fx; derivatives..'

I wish i had better database knowledge because i bet there's a clever way of saying that.

 

[makisg]

look i don't really care what you call them. I used the word tool in this instance to make it more descriptive in terms of what i was trying to say with respect to the OP's doubts about his strategy. Obviously you have spent some time finding credible sources which call derivatives asset classes congrats consider me bested or whatever. Personally i still call them contracts rather than assets, in the sense that you can't say "well derivatives had a good year" in the same way as people say "equities/commodities had a good year" or in the same way as you compile an index for assets. So that's what i mean by some morons on here who consider all derivatives/options to be the root of their problems, as if it is one kind of product.

Fair enough. I guess by now we should both agree on one thing. That at minimum calling someone a moron and full of sh1t for using proper industry terminology shows lack of character and proper training on the subject matter.

 

[wino59]

Fair enough. I guess by now we should both agree on one thing. That at minimum calling someone a moron and full of sh1t for using proper industry terminology shows lack of character and proper training on the subject matter.

at the end of the day the terminology doesn't really matter does it?

The bottom line it this... He was using options to day trade, however that what ever you want to call it(derivative,tool, asset class,etc.) doesn't really matter for this discussion.

He was trading options options, which are priced on intrinsic value, volatility, and delta, so depending on the volatility of the option and the theta, he could lose money even if he picked the right direction. Options are a not good for a day trading strategy, so he is better off trading futures or forex.

It is obvious that he is trying to leverage, so either of them are good for that, and it is 1:1 profit and loss plus the spread, so why don't you guys wish him well, and who really care what you call it.

 

[RPEX]

Fair enough. I guess by now we should both agree on one thing. That at minimum calling someone a moron and full of sh1t for using proper industry terminology shows lack of character and proper training on the subject matter.

You've got incredibly thin skin for a pr1ck.

I didn't read any of those links at first but now that i have, i realise only 1 (vendor, interactive data) confirms what you are saying as for the other 3:

DTCC
"DTCC Launches Repositories For Two OTC Derivatives Classes"
Its asset classes are
1.Credit
2. Equities
3. Interest Rates
4. Commodity
5. FX

Hence it is talking about 5 sets of derivatives on those asset classes.

ISDA

As in

post #22

, links to derivatives on interest rate, credit, equity, FX, energy, commodity, developing and structured products.

BGC

Equities
Equity derivatives
Index futures
Commodities and energy derivatives
Property derivatives

There is no standalone derivatives business, they sit with the underlying business (the asset) the derivative is a contract, a type of contingent claim on those assets.

Options are a not good for a day trading strategy, so he is better off trading futures or forex.
.

Yes exactly. But what i was trying to say (instead i went off on a rant which was misinterpreted as being about terminology) was that if the OP is comfortable trading the range of a single stock and he's got used to it, then switching to an FX pair might take him a bit of getting used to.

I do wish the OP well, sorry if i sounded like an a$$hole, i just instinctively feel that more leverage will be a bad thing with a very low capital base.

 

[makisg]

You've got incredibly thin skin for a pr1ck.
.....

You had me worry there for a while. Couple of posts went by without getting some of that colorful language of yours. You must be really proud of such great command of that language. With no proper moderation, I take it you are the bully around here?

Whatever you call me on an anonymous internet board, the fact remains that if you buy a contract and you can resell it on an exchange, it is an asset. It is taxed as an asset and reported and treated as such.