Rollover when useful?

Discussion in 'Options' started by marsman, Jul 7, 2016.

  1. marsman

    marsman

    Usually yes, but in this case I don't think the underlying will move more than 23% tomorrow on the last day... :)
     
    #11     Jul 7, 2016
  2. TradeCat

    TradeCat

    To this day, I rally against writing naked anything and for covered calls and cash secured puts. Trading is so much more relaxing when you minimize unnecessary risk.
     
    #12     Jul 7, 2016
  3. ironchef

    ironchef

    marsman,

    lindq was right when you are short naked options, either call or put. He was trying to do you a favor warning you to be very careful.

    You probably don't remember KRFT (Kraft Foods Group) I sold call options on it, received about $1 when the stock price was around $50 per share. Within a short time it was bought out and the stock jumped to over $80 a share. It was a very expensive lesson for me.

    Good luck.
     
    #13     Jul 7, 2016
  4. marsman

    marsman

    Closed the pos by buying back. Made about 2k equalling to about 18% in a week, not bad imo.
     
    #14     Jul 8, 2016
  5. presumably you have a view on volatility
     
    #15     Jul 9, 2016