Monday, October 12, 2009

Of Relationship Statuses and Traders

Single - A wannabe player in the market.

Married - Took a position and is married to it. Keep feeding in the money to maintain the position because he cant accept his call can be wrong. You need deep pockets for this and hope you dont lose it all on the margin calls.

Engaged - Bought a call option hoping that the underlying will go up in the future. But easily gets fooled by temporary rallies and becomes married to the position.

In a Relationship - Not trading with actual money, using a simulation system.

Its complicated - Dont understand the terms of the contract. Just invests where ever the portfolio manager asks to. Wants to proclaim to the world that he is a player but doesnt understand a thing about the vagaries of the market. Potential to get fucked, huge.

In an Open Relationship - OTC contract, differs from party to party.

Widowed - The position he was married to was either auctioned off because he couldnt make the margin calls or the underlying went bankrupt.

1 comment:

deep_inside said...

awesome dude. its a must read.