Originally posted by TheGreenBastard
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stock market crash
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Originally posted by BR14 View PostDoes a tree, falling alone in the forest, make any sound?Comment
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Originally posted by Andy2 View PostFTSE is rising and scooty's networth is falling
See.. saved him the trouble of posting.Comment
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Originally posted by Old Greg View PostNot if you put it on 'Ignore'.I am what I drink, and I'm a bitter manComment
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See I told yah. Resistance is futile. He can't help himself to read my top notch quality thread."Never argue with stupid people, they will drag you down to their level and beat you with experience". Mark TwainComment
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Originally posted by Andy2 View PostFTSE is rising and scooty's networth is falling
Aren't Puts time-bound (even though Scooty claims he doesn't try to time the market!)? So if the FTSE doesn't hit the Scooty magical number of 4500 (or whatever) he will definitely be in loss. Or, as he says, -ve gainI am what I drink, and I'm a bitter manComment
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Originally posted by Whorty View PostIsn't he claiming he has a Put Option? So all that is at risk is the premium (plus any commission)? Of course, we don't know what the premium and commission is on a £250k bet (I know, I'm pretending he really has this trade).
Aren't Puts time-bound (even though Scooty claims he doesn't try to time the market!)? So if the FTSE doesn't hit the Scooty magical number of 4500 (or whatever) he will definitely be in loss. Or, as he says, -ve gain
Those options will have a strike price for the FTSE eg. 5500. They will also have an expiry date eg. 31 Oct 2020.
In this example, unless the FTSE is below 5500 on 31 Oct, the options will expire worthless (total loss of $250,000). Just to break even (get the $250,000 back), the FTSE would have to fall quite a way under 5500.
He says the options have already lost $75,000. So they are now only worth $175,000. If the FTSE stays around 6000, then the rate of decline will accelerate as the option expiry date gets nearer.
Bottom line: he's risking a total loss of $250,000Scoots still says that Apr 2020 didn't mark the start of a new stock bull market.Comment
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Originally posted by DealorNoDeal View PostHe says he's bought $250,000 of put options.
Those options will have a strike price for the FTSE eg. 5500. They will also have an expiry date eg. 31 Oct 2020.
In this example, unless the FTSE is below 5500 on 31 Oct, the options will expire worthless (total loss of $250,000). Just to break even (get the $250,000 back), the FTSE would have to fall quite a way under 5500.
He says the options have already lost $75,000. So they are now only worth $175,000. If the FTSE stays around 6000, then the rate of decline will accelerate as the option expiry date gets nearer.
Bottom line: he's risking a total loss of $250,000Comment
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Originally posted by BABABlackSheep View PostIt will still be bouncing off the 6000 resistance .. showing a 100% certainty of an imminent drop to 4500.
See.. saved him the trouble of posting.Comment
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