Managing risk is the most important and most overlooked component in the trade determination process. Regardless of your emotional feeling about any particular position it all boils down to maximum risk in case you are 100% wrong. That's all. Managing risk is the "hat" you wear to protect your asset.
Options are sold to the public as limited risk vehicles. That is just not so. They are a 100% risk on your invested capital.
Conventional options, sold by "salesmen" to the unsuspecting public, using high pressure tactics and the lure of getting rich, can do only three things. They can go up... they can go down... they can stand still. Two of these three things are against you. You have given the most brilliant trading minds in the business 66% odds against you before you even begin.
Consider Synthetic Futures. Synthetic simply means manufactured, or man-made. It is a future in the primary direction of the market, and an option for protection, or risk management, instead of a stop. Think of it as a "stop" with time attached. A Synthetic Hedge gives you both sides of the market, a predetermined risk, and no need for a stop until you are ready. Put yourself in charge of your money, not the whims of the market or prearranged news announcements.
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How to Contact
Charting Your Futures
General Information,
or technical questions
for Jay Gallemore
E-mail: info@chartingyourfutures.com
Telephone: 1 (626) 355-6240
Sierra Madre, California USA
© 1998-2010 Charting Your Futures Brokerage Company
This information is not to be construed as an offer to sell or a solicitation or an offer to buy the commodities herein named. The factual information of this report has been obtained from sources believed to be reliable, but is not necessarily all-inclusive and is not guaranteed as to the accuracy, and is not to be construed as representation by CYF Brokerage. The risk of trading futures and options can be substantial. Each investor must consider whether this is a suitable investment. Past performance is not indicative of future results.