I regret having bought long into some companies I wanted to sell options on
Why? Did you buy the stock just to sell covered calls and stock fall? I know why they call these things options....lol, it gives us too many options.
I regret having bought long into some companies I wanted to sell options on
Why? Did you buy the stock just to sell covered calls and stock fall? I know why they call these things options....lol, it gives us too many options.
hah, yes they do. I bought long to sell options. KODK is probably too risky. I have quite a few naked puts also. I will probably back off on those next round and close some for profit Monday.
I'm nervous my success is luck and timing more than picking correctly. watching a lot of YT videos on delta, gamma, theta
i think you can set limit orders and then just let it ride if you want. you can certainly day trade them, but if you set a limit order for max loss you're comfortable with and choose a share price and time frame you'd be happy getting out of the deal at, then just follow share price and close when you want.
I am looking at candle sticks, moving averages, and trends.
look at FSLY. I think based on 20-day moving average it's headed back to 92. I could do a vertical.
if i wanted to play it as a vertical to limit risk, would i do a FSLY Jan 8 +97p, -90p for $3 per contract? and if it goes to 92 in 3 days, presumably the $5 i spent to buy the 97 put would now be worth $7.50ish (delta -0.45 and theta -0.17), and the 90p now worth $3.40 (delta -0.25, theta -0.17) or so? that would be a $1.10 return in 3 days on $7 collateral, or 1900% annual return?
did I analyze that correctly?