OPTIONS PLAY: ECB President Trichet Fails To Ease Fears
The European Central Bank President Jean-Claude Trichet Has Failed To ease The Greece Debt Worries.
MY ANALYSIS
Fundamenatlly, I believe the EURO CURRENCY futures will continue to fall for 3 basic reasons:
1. The ECB doesn’t seem willing to bail Greece out.
2. The ECB and IMF tend to move slow on these types of issues (while markets tend to move fast).
3. Other countries could follow with debt issues
Technically, this market is in a SUPER-TREND lower indicated by the 2 MA’s pointing lower and the market holding below them.
OPTIONS ON COMMODITIES AND FUTURES IS NOT FOR EVERYONE
OPTION PLAY
BUY JULY EURO CURRENCY FUTURE PUTS
We also buy in a 3 to1 ratio an outright CALL in case the market makes a MAJOR move against us.
FOR A FREE CME REPORT ON OPTION BASICS: http://www.zaner.com/3.0/mmck5.asp
WE ARE ALSO BUYING OPTIONS IN U.S. 30 YEAR TREASURY BONDS, GOLD, AND SOFTS.
FREE QUOTE- “The trend is you friend”
Call or email me with your phone number for a detailed explanation of the strategies 312-277-0115 or mmckinney@zaner.com.
For More Trade Ideas: http://www.mckinneytrading.blogspot.com/
Futures, options and forex trading is speculative in nature and involves substantial risk of loss. All known news and events have already been factored into the price of the underlying commodities discussed. The limited risk characteristic of options refers to long options only; and refers to the amount of the loss, which is defined as premium paid on the option(s) plus commissions.
FOR CUSTOMERS TRADING OPTIONS, THESE FUTURES CHARTS ARE PRESENTED FOR INFORMATIONAL PURPOSES ONLY. THEY ARE INTENDED TO SHOW HOW INVESTING IN OPTIONS CAN DEPEND ON THE UNDERLYING FUTURES PRICES; SPECIFICALLY, WHETHER OR NOT AN OPTION PURCHASER IS BUYING AN IN-THE-MONEY, AT-THE-MONEY, OR OUT-OF-THE-MONEY OPTION. FURTHERMORE, THE PURCHASER WILL BE ABLE TO DETERMINE WHETHER OR NOT TO EXERCISE HIS RIGHT ON AN OPTION DEPENDING ON HOW THE OPTION’S STRIKE PRICE COMPARES TO THE UNDERLYING FUTURE’S PRICE. THE FUTURES CHARTS ARE NOT INTENDED TO IMPLY THAT OPTION PRICES MOVE IN TANDEM WITH FUTURES PRICES. IN FACT, OPTION PRICES MAY ONLY MOVE A FRACTION OF THE PRICE MOVE IN THE UNDERLYING FUTURES. IN SOME CASES, THE OPTION MAY NOT MOVE AT ALL OR EVEN MOVE IN THE OPPOSITE
