I've posted how I trade out of losing positions before and got ridiculed by a few of the " experts " that seem to thrive on this board. But here is a trade I just did that shows an example that works for me. Was long SGMO with a BE of $17.24. The stock is pulling back today and when it got near my BE I decided I didn't want to hold. I could have sold it at a small profit, but instead I shorted a May 15sp call for $540. The position is now closed to me. If SGMO is above $15 in May I will lose the stock for $15 plus the $540 I received= $20.40. A profit of about $320/position. My new BE of the stock is now $17.24-$540= $11.84. I will now trade SGMO from a clean start, buying stock, puts and calls depending which way it is moving.