To the mods: This question is not platform-specific so it seems like the best place to post it. Feel free to move it to IB if you want... Hi All, I'm new(ish) to Options trading and have a question about setting profit targets. I use IB's TWS but I'm sure the procedure for attaching Bracket Orders is similar to other platforms. I'm just paper trading right now (selling Put Credit Spreads; mostly on SPY and QQQ), and I've been taking profits based on a percentage of the premium received. However, I've now got to wondering if I'm leaving profits on the table with this approach. I mean, would it make more sense to take profits based on the stock/ETF reaching a Resistance level? Would I earn more with this approach, or am I better off just sticking to a predefined percentage? Or, should the Profit Target % vary depending on the stock or ETF being traded?
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