My amzn & Google naked put sell is In deep red . How to play it on Monday to recover the loss.

Discussion in 'Options' started by Millionaire_Raj, Feb 21, 2020.


  1. You’re suggesting that he short a 2Y put?
     
    #111     Feb 25, 2020
  2. guru

    guru


    Yes, rolling it to a low-strike LEAP until volatility subsidies and until he can get a job - as one of dozens of possible ideas that no one else provided here...
    (though that broker likely doesn’t support LEAPs anyway)
     
    Last edited: Feb 25, 2020
    #112     Feb 25, 2020
  3. 7out

    7out

    I think he came down with the Corona Virus symptoms: Very high fever, dry at the mouth, shortness of breath and breathing difficulties.
     
    #113     Feb 25, 2020

  4. Trenton homey just put a gun to the OP's head. Dozu cost the guy 100 in GOOGL and 125 in AMZN.
     
    #114     Feb 25, 2020
  5. Take the vol-risk for two years? He would've lost $1K on day one.
     
    #115     Feb 25, 2020
  6. guru

    guru


    It’s not a risk if you can buy the shares in 2 years, I don’t know his situation.
    Sometimes I’m hedged that far or wouldn’t mind having the stock, then trade LEAP puts for getting credit on debit spreads (selling LEAP puts at high vol then buying higher strike puts when vol subsides).
    I’m not saying it was a great idea either, but I just didn’t see any others, while also not fully knowing his situation. I do agree that getting out with a loss would’ve been best, but he also asked what else he could do to continue playing...
    (only $1K extra of temp loss today after losing $12K earlier actually seems positive at this point)
     
    Last edited: Feb 25, 2020
    #116     Feb 25, 2020

  7. C'mon man. The guy is short the front month weekly and you're suggesting he go out two years. You can probably assume that his situation doesn't include increasing his holding period 100-fold.
     
    #117     Feb 25, 2020
  8. guru

    guru


    Yes, I can assume a lot, including that a lot more can be done with it later, or that making $12k back can take 2 years for some people.
    Anyways, it’s easy to not propose a solution and criticize other ideas, so what’s your best shot for him to recover his lost $12k?
     
    #118     Feb 25, 2020
  9. I think the simplest suggestion would be to deposit more money, take the stock and hold on to it for a while.
     
    #119     Feb 25, 2020
  10. ironchef

    ironchef

    I think he said he didn't have to funds to do that.
     
    #120     Feb 26, 2020