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Re: I posted a Question to Charles Schwab 

By: Down And Out Man in POPE | Recommend this post (1)
Tue, 01 May 12 6:46 PM | 42 view(s)
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Msg. 57186 of 65535
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Options.

A good way for most folks to lose money, if trading them means buying to open and selling to close. That's more often than not a losing proposition, and for most folks the winners don't outpace the greater number of losers.

Selling to open (as in covered calls, for example) can over time really enhance your market profits. Instead of giving the other guy on the other side of the position the time premium, put it to use for yourself.

I've been doing this for years. Decades, actually.

A very useful tool, options can be, if not used solely for speculation. If all you do is speculate with them, unless you're one of the really good one percent, over time you'll generally be a loser.

D&O




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