Explore Your Options  |  JUL 2007

Explore Your Options by Tom Gentile

Explore Your Options by Tom Gentile OPTIONS AND SHORT-TERM PRICE MOVES I’ve been working on a system that works well in predicting the moves in the Dow Jones Industrial Average (DJIA) over one to two weeks. It is a purely technical system. I have been using the Dow Jones diamonds (DIA) exchange traded fund (ETF) as a vehicle for the system. What other “options” do I have? — Mike In addition to the DIA, you can also trade options on the DIA, index options on the DJIA, or Dow futures. The futures will require a separate trading account because futures and options on futures are regulated differently from stocks, stock options, and index options. You can trade DIA or index options in the same account as your DIA trades if you have option approval from your broker, which requires paperwork and a signature. Ask your broker. ... continuded

by Tom Gentile