.....

[FelixDeCat]

..........

 

[rakzum]

what the fucking...

 

[Wyndru]

lottery

 

[SunnyD]

what the fucking...

It's called "Making money with other peoples' money."

It's also a large reason the economy is as fucked up as it is. Need to get rid of these god damn day traders and computer trading systems and get actual people back on Wall St. to slow the volatility down.

 

[JTsyo]

Why the price drop today?

 

[FelixDeCat]

Why the price drop today?

They cut subscriber growth rates due to mass cancellations over the recent price increases.

 

[rakzum]

Why the price drop today?

people we're surprised to see the price go skyrocket, so they sold immediately knowing it was just an aberration.

 

[GotIssues]

Algos
+
Near Instant Selling/Purchasing through the internet
=
Volatile as heck

 

[FelixDeCat]

Algos
+
Near Instant Selling/Purchasing through the internet
=
Volatile as heck

NFLX is continuing to fall. The above mentioned option has doubled again overnight!

Your $183 "investment" would now be worth $43080.00

 

[Texashiker]

It's also a large reason the economy is as fucked up as it is. Need to get rid of these god damn day traders and computer trading systems and get actual people back on Wall St. to slow the volatility down.

We just need to get rid of wall street and the stock market. Get companies and the money back in the hands of the owners and the employees.

The best companies I worked for were privately held.

The worst companies I worked for were publicly held.

 

[YoungGun21]

Algos
+
Near Instant Selling/Purchasing through the internet
=
Volatile as heck

Where is your proof?

There is certainly more volume, that is undenial. I have my doubts that you will produce credible evidence to support your volatility argument though.

 

[BrokenVisage]

So how many shares of Netflix does the OP own?

 

[SunnyD]

So how many shares of Netflix does the OP own?

My guess would be none. The point isn't to OWN any at this point, it's to own put contracts (basically you're making money off other people's stocks if I understand it correctly).

 

[Tencntraze]

A put contact gives you the option, but not the obligation, to sell a set number of shares at a given price. There are 2 ways to utilize put contracts, I believe:

1) Sell shares you own at the option's strike price (i.e. strike price is 200 and current price is 175, you're selling shares at 25 above market value)

2) Sell the option itself, which doesn't require you to own any shares. Someone else who does own shares may want to buy this option, or they may speculate that the option will become more valuable so they can later sell it themselves.

 

[FelixDeCat]

So how many shares of Netflix does the OP own?

None. I've watched the markets since 1980 because its interesting.

My guess would be none. The point isn't to OWN any at this point, it's to own put contracts (basically you're making money off other people's stocks if I understand it correctly).

Correct.

A put contact gives you the option, but not the obligation, to sell a set number of shares at a given price. There are 2 ways to utilize put contracts, I believe:

1) Sell shares you own at the option's strike price (i.e. strike price is 200 and current price is 175, you're selling shares at 25 above market value)

2) Sell the option itself, which doesn't require you to own any shares. Someone else who does own shares may want to buy this option, or they may speculate that the option will become more valuable so they can later sell it themselves.

The 3rd way is to buy the option contract itself which leverages 100 shares for each contract. Speculating in options however is very risky and most people lose money doing it. The commissions are also high because you pay $10 + .75 per contract to buy and sell.