A personal finance blog about trading, investing, and other wealth building strategies. Learn how to trade options, get trade ideas, and make money online from home.
It was very helpful. Their suggestions seem so obvious to me now, but prior to talking with them those strategies never entered my mind. I would have just watched the trade and probably done nothing as long as AAPL didn't approach my short strike. Now I know how to handle this trade, as well as numerous other similar situations.
Made an adjustment to my position today following the advice I was given. Sold Feb 465/470 call spread for $1.38 credit Then I rolled my 435 put down to 430 for a $0.43 debit. Since I am long the 420 put this reduces my downside risk from 15 points to 10 points.
Obviously selling the call spread turned out to be a mistake, and a $3.62 loser. Can't fault the advice or the trade though, most of the time it would have worked out, I just got run over by the AAPL bull.
I was short the 445/450 FEB call spread on a 2-lot, lost $690. I'm currently short a MAR 485/490 5-lot but don't remember the credit, somewhere around $1.85.
Overall AAPL has been a loser for me though I trimmed the losses a little bit by selling Feb call spreads at 520/525 and put spreads at 455/460 that expired worthless.
I have a bunch of AAPL positions for March. If we get a down move in AAPL I'll probably sell some put spreads and puts to condorize/strangle everything.
Short Mar 470/475 call spread Short Mar 540/545 call spread Short Mar 530 calls Short Mar 450/545 strangle Short Feb4 weekly 460/540 strangle
Look at you going prime-time! I've never called in because he's always answered any questions via email.
ReplyDeleteIt was very helpful. Their suggestions seem so obvious to me now, but prior to talking with them those strategies never entered my mind. I would have just watched the trade and probably done nothing as long as AAPL didn't approach my short strike. Now I know how to handle this trade, as well as numerous other similar situations.
ReplyDeleteMade an adjustment to my position today following the advice I was given.
ReplyDeleteSold Feb 465/470 call spread for $1.38 credit
Then I rolled my 435 put down to 430 for a $0.43 debit. Since I am long the 420 put this reduces my downside risk from 15 points to 10 points.
Obviously selling the call spread turned out to be a mistake, and a $3.62 loser. Can't fault the advice or the trade though, most of the time it would have worked out, I just got run over by the AAPL bull.
ReplyDeleteI was short the 445/450 FEB call spread on a 2-lot, lost $690. I'm currently short a MAR 485/490 5-lot but don't remember the credit, somewhere around $1.85.
ReplyDeleteOverall AAPL has been a loser for me though I trimmed the losses a little bit by selling Feb call spreads at 520/525 and put spreads at 455/460 that expired worthless.
ReplyDeleteI have a bunch of AAPL positions for March. If we get a down move in AAPL I'll probably sell some put spreads and puts to condorize/strangle everything.
Short Mar 470/475 call spread
Short Mar 540/545 call spread
Short Mar 530 calls
Short Mar 450/545 strangle
Short Feb4 weekly 460/540 strangle