Iron ore price, page-2586

@ Arthur, its not the same profit every month, buts its pretty close.

some months you may pull 20k, others you may pull 45k and others you may pull 34k like this month

its obviously all dependent on how much premium you decide to write and at what strike prices(or what risk your prepared to take on).

the point is if you have absolute conviction and confident in a stock and where the sp is going, for example FMG then its not as difficult as one would expect to pull say 30-50k of premium when your are selling insurance to the tune of say 1.5-2 million per month.

im pretty certain that if you go have a look at the September options contracts for FMG right now with a purse of 1.5million, you will see that if your that way inclined and have the fortitude, conviction and backbone then its not unrealistic to realise a profit of 30k or more for the month.

your comment of 100k x 12 months I certainly wouldn't consider, that is just greed in my view and would see you come unstuck in a big way, a bit like all the subjective longs sitting on huge paper profits when FMG was at like 7.30 and thought it was going to 10,13,30 bucks.

don't get me wrong 100k is certainly not out of the question per month, but one would need some 3 million plus of equity for that

oh and btw, your 100% correct, as you clearly state the obvious that any experienced trader would be expecting a pull back ex div, despite that we still get these apparent brilliant long term traders that keep up ramping the stock for their own agenda at the detriment of less experienced share traders.

in my view anyone that has the spine to risk trading millions every month or even hundreds of thousands then they deserve every cent they make.