Hello , I was wondering if you ever turn a profitable long call into a bull spread or just close the trade and take the profit. I am long 1 OKTA jan20 '23 210 call . I bought it for $57 and now it is $79. Does it make sense to turn it into a bull spread or calendar spread , maybe by selling jan20' 23 350 call? Thank you .
Depends on your outlook for the various greeks. For example if volatility is high and you are still slightly bullish, sell the spread
Did you mean sell a call to create a spread? Sorry I am really new to options. I am slightly bullish but I think it will trade between 220-280 for the next 6 month .
Yes sell the call to create the spread try to understand the greeks and that will guide your decision But in a crazy bull market like we have now it is almost always better to leave calls for as long as you can before doing some sort of adjustment