Forums - Help with two losing options trades expiry jul12

HOME FORUMS BROKERS SOFTWARE BOOKS CONTACT US

Your Account • Become a Member • Help • Search

	Forums ›› Main ›› Options ›› Help with two losing options trades expiry jul12

Page 1 of 5: 1 2 3 4 5

Cereal

Registered: Dec 2010
Posts: 67

07-02-12 12:37 PM

Hi

Just wondering if any of the more experienced people here might lend a hand and recommend some additional trades I might make so as to repair or minimize losses for these which are losing now.

Original trades are:

TBT - Total 6 PUTS - Current stock P is $15.84
-------------------------------------------------
Bought 4 Jul12 $14 PUTS at 0.52

Bought 2 Jul12 $15 PUTS at 0.95

BBVA - Total 6 PUTS - Current stock P is $7.07
-------------------------------------------------
Bought 2 Jul12 $6 PUTS at 0.75

Bought 1 Jul12 $5 PUT at 0.35

Bought 3 Jul12 $6 PUTS at 0.80
*

Appreciate any suggestions. Thanks

Edit/Delete • Quote • Complain

TskTsk

Registered: Dec 2011
Posts: 343

07-02-12 01:14 PM

Well, where do you feel price will go within expiration? If you feel it will settle OTM then just exit the position now before time decay eats away everything.

Edit/Delete • Quote • Complain

FreakofNature

Registered: Jun 2011
Posts: 1052

07-02-12 01:45 PM

When you got a losing position and you dont know what do with it, I think best course of action is to simply close it as you are displaying lack of preparation.

Edit/Delete • Quote • Complain

Cereal

Registered: Dec 2010
Posts: 67

07-02-12 02:25 PM

Thanks replies so far.

I could close the BBVA position but I'd already lose its maximum so might as well wait and see.

TBT also almost at maximum loss now.

Was hoping someone could suggest some creative way (additional vertical, calendar legs or something) tht could minimize loses.

Edit/Delete • Quote • Complain

iceman1

Registered: Oct 2002
Posts: 4258

07-02-12 07:38 PM

you didn't say whether your account is approved for spreads etc. So how can anyone really help you when you don't state all relevant information. However if you are approved then sell a higher strike and at least minimize your open loss, if it does not sell-off/retrace. Essentially you are creating a put backspread such that if stock plummets you have limited loss with "unlimited" profits.

Did either of these gap up?

Edit/Delete • Quote • Complain

Cereal

Registered: Dec 2010
Posts: 67

07-02-12 07:43 PM

Thanks iceman.
Yes I am approved for all trades in options except futures options.
The trades were put on fundamentals criteria (Spanish bank was supposed to tank but didn't and TBT also same story).
When you say sell higher strike, are we talking selling a higher strike put or call?

Edit/Delete • Quote • Complain

Page 1 of 5: 1 2 3 4 5

Receive an email whenever a new post is added to this thread by subscribing to it.

Rate This Thread:

Forum Jump:

Conduct Rules - Privacy Policy - Day Trader - Day Trader Forum - Best Trading Software - Sitemap

WHILE YOU'RE HERE, TAKE A MINUTE TO VISIT SOME OF OUR SPONSORS:
Advantage Futures Futures Brokerage & Clearing AMP Global Clearing Futures and FX Trading Bright Trading Professional Equities Trading CTS Futures Trading Software DaytradingBias.com Professional Trading Analytics ECHOtrade Professional Trading Firm	eSignal Trading Software Provider FXCM Forex Trading Services Global Futures Futures, Options & FX Trading Interactive Brokers Pro Gateway to World Markets JC Trading Group Direct Access Trading MB Trading Direct Access Trading	MultiCharts Trading Software Provider NinjaTrader Trading Software Provider OANDA Currency Trading optionshouse Option Trading & Education Rithmic Futures Trade Execution Platform SpeedTrader Direct Access Trading	SpreadProfessor Spread Trading Instruction thinkorswim by TD Ameritrade Direct Access Trading TradersStudio System Building & Backtesting Trading Technologies Trading Software Provider Trend Following Trading Systems Provider