Forum Archive Index - September 2003

[fntradingsolutions <fntrade@bigpond.net.au>]

I have found Options on the ASX to be rather illiquid. The only profitable way to trade them is daytrade, pick one or two

and buy a put or call on breakouts. I trade Options on the SPI which are very liquid and very profitable. I also trade gold, silver and soybeans on the US markets.

Delta: -  is the value of the option in ( percentages ) to the underlying ( Futures Contract )

Gamma: - is the change in the Delta as the Futures contract moves.

Theta: - is the decline of the Option premium in one day if the Futures does not move

Vega: - reflects the option price to changes in Implied Volatility.

 

Buy a good book on options ( Louise Bedford - www.tradingsecrets.com.au )

Open an online account ( http://www.sanford.com.au )

Put a couple of grand in and Trade . Most likely the cheapest Options course you will ever do and usually the best.

 

Regards Woody