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a spot trading question. thanks!
Posted: November 26th, 2007, 4:29 am
by xtal79
suppose the price of a stock will have 50% prob for $1 up and 50% prob for 1 down. What's the simple strategy to buy it?
a spot trading question. thanks!
Posted: November 26th, 2007, 8:00 am
by Vassili
Call your broker and buy it. As simple as it gets.
a spot trading question. thanks!
Posted: November 26th, 2007, 11:24 am
by xtal79
vassili, thanks!
a spot trading question. thanks!
Posted: December 7th, 2007, 9:19 pm
by betard
do nothing!you will have the same expected return
a spot trading question. thanks!
Posted: December 9th, 2007, 6:41 am
by Ceres629
QuoteOriginally posted by: betarddo nothing!you will have the same expected returnminus transaction costs to boot!