Is trading options bad

Dec 8, 2019 24 Comments

I am bored with my safe ish investment and would love to invest with more leverage.

Is trading option a bad idea?

What's your option trading success/failure story.

comments

Want to comment? LOG IN or SIGN UP
TOP 24 Comments
  • Samsung statarb
    Understand how the Option is priced and in what ways it can help you adjust your risk and returns. You want to improve returns for the same or lower risk.

    If you like leverage and are inclined to gamble, dabble in options on index futures and currencies right before expiration. You will get leverage anywhere from 1000:1 to 10000:1. Beats high stakes poker. Your heart will race like a hummingbird and you will sweat until asset settlement. You might want to read about SOQ before you take the plunge.
    Dec 8, 2019 0
  • Facebook public2
    Gambling is fun, don't bet the farm.
    Dec 8, 2019 3
    • Facebook public2
      Define bad? Meets your criteria of making or losing money faster.
      Dec 8, 2019
    • Amazon cpl
      What he means is view it the same way you view Vegas. Expect to lose ALL the money you put in options, just like you EXPECT to lose your stake in Vegas. If on the other hand you win, that's great. But don't count on it for your savings.
      Dec 20, 2019
  • Samsung statarb
    You also need to worry about expiry dates, margin calls, exercise rules, M&A activity. It’s a ton of info that people in the know have it at their fingertips.
    Dec 8, 2019 0
  • Schlumberger KYeT57
    Options are perfectly fine, but a large portion of options expire worthless so you need to be correct about the direction and the time frame. Until you have years of experience I would play it safe and keep the money at risk relatively low. You need experience in both bull and bear markets or you’ll become a victim of your success.
    Dec 8, 2019 0
  • Intuit KReJ50
    I would suggest u understand math behind option.. which is BS
    Dec 8, 2019 2
    • New / Data sese3832
      That's not needed. You can trade options without knowing a thing about pricing or Greeks.
      Dec 8, 2019
    • Intuit KReJ50
      Yes u can drive a stick shift in one gear
      Dec 8, 2019
  • First Republic fakeacct
    Ever lose 30k+ in one day? That’s what can happen. But if you bet correctly, you can make it all back and some more during earnings seasons. Trading options to protect downside is recommended if you have a large amount of shares in Lyft. Do it if you’re experienced. Otherwise, take it slow and learn.
    Dec 8, 2019 1
    • Intuit KReJ50
      Losing 30 k in one day can happen u hold a lot of company stock in esop rsu accounts
      Dec 8, 2019
  • New / Data sese3832
    Sell option otm premiums and make risk free money. But your initial investment should be big enough.
    Dec 8, 2019 1
    • Intuit KReJ50
      Risk free?? Really
      Dec 8, 2019
  • Cisco Hjkb55
    Yes it’s bad. If you just want ‘more risk’ do a leveraged etf or something. Options are a meme and basically gambling
    Dec 8, 2019 1
    • Schlumberger KYeT57
      2x 3x rebalance daily unless it’s a day trade stay away from these
      Dec 8, 2019
  • Amazon cpl
    Investments are SUPPOSED to be boring.

    If you want excitement play video games.
    Dec 20, 2019 0
  • Barclays PLC bespoken
    It’s only a bad idea if you don’t know what you’re doing. Trading options because you’re bored falls into that category
    Dec 11, 2019 0

Salary
Comparison

    Real time salary information from verified employees