SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Options for Newbies -(Help Me Obi-Wan-Kenobe)

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Randy Schmid who wrote (343)9/20/1997 4:49:00 PM
From: Madpinto   of 2241
 
I assume you first bought the calls in AGPH because you believed the stock would rise higher than the strike price plus the price of the option before Nov. expiration. What opinion do you have now? If you believe the stock will not move much from here, selling the Nov 55 calls makes sense. You will get the most premium by selling the at the money call. If you think the stock will rise significantly from here but you don't like having so much money on the table, it might make sense for you to roll your options up (buy a higher strike and sell your DIM calls.) Or you could buy some puts to protect you against a down move. You could also sell half of your options and take in some profits that way. Make your decision the same way you made the decision to buy the calls in the first place. You had an opinion and you acted on it. If you have no opinion at all about the stock here, selling the options straight out makes the most sense. Think about the different possibilities available to you and pick the one that fits what you consider the most likely scenario for the stock. If you do not have a good grip on the different possibilities, let me know what your opinion on the stock is, and I will give you some strategies to implement them.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext