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Simon, can you please clarify this statement of yours more for us?

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Not applicable
Why does it matter if they are still way off their highs? I thought that trading has nothing to do with fundmental type data. If I have 500 000 warrants on company x and it climbs by 5c then I break out the champagne, no matter how good the company is or how far they are from their high, BUT, it seems to me that you have another fact up your sleeve. Spill the beans please.
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SimonPB
Valued Contributor
lol, no just that I buy things that are goign up and sell those going down .. an fundamentals got nothing to do with my trading, just the price ..
so in short, sure buy it and if it rises, but if it fallen a bunch, will it rise on your time frame ??
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Not applicable
Time frame - Now theres a different poison. ex. I don't have a clue how I am going to come second best when the warrants I am holding run out of time. I know about theta and time decay and all that other fancy words but If I bought the warrant for 25c and it is standing at 20c when the time is up, I'll lose 5c on each warrant. Are you telling me that due to theta and time dacy I will lose more than the 5c? Makes no sense. It will still have a value of 20c and that is what I will receive. Correct?
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SimonPB
Valued Contributor
snakepit .. no, you just loose the 5c .. but that's it, you have a defined period of time for thing to go your way .. if you buy the stock, you have all the time in the world (more or less) ..
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Not applicable
Can I ask why a warrant can't be rolled forward into a new warrant like you do with the share installment? Roll the TOPSBM warrant into the TOPSBN warrant. Ja, I'll get less bang for my buck, but if that is my choice, then so be it.
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john_1
Super Contributor
Dude why not then simply trade instalments.. as that is what they are for!!!
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Not applicable
My dear Holmes, it is elementry - gearing and price. A Share Installment is sold at +- 50% of the price of the true blue share. A warrant is far cheaper and you get a heng of a lot for a small amount of money. If I am only going to risk 2% of my capital on each trade then I want to be able to buy a heng-of-a-lot with that 2%. If I have a heng-of-a-lot of that something, when it goes up by say, 2c, I get a heng-of-a-lot in return.
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grommet
Regular Contributor
an lose a heng of a lot if it goes down
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Not applicable
No, I only lose 2% of my capital if it goes down as I only have 2% exposed to trading risk that is assuming that I do not have a stop-loss in place.
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