John Williams <[EMAIL PROTECTED]>
> Alberto Monteiro
> > Now suppose that some smart guy _knows_ that there's a 50% chance
> > that tomorrow's price will raise by 100% and there's a 50% chance
> > that tomorrow's price will get back to 0%, and that whenever he
> > puts money in that, the g*vernment steals 1% from him.
>
> That is straightforward to profit from with any number of options strategies.
> Look up "long straddle" and "long strangle" for example.
>
> > Would s/he be wise to put his/her money into this lottery
>
> I would.
And I did, today. I had no idea how the vote would go, but I figured that the
market would move strongly one way or the other. So I put on a long strangle,
and made some money. About the only other people making money today
were the gold-bugs and (oddly) the dollar bulls.
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