Hi, guys!! I enjoyed reading all your post here in "Options' forum. All of you have interesting ideas and comments. I am a new memeber and wanna start a discussion about stranggles and straddles. I'v been selling stranggles on SPX about 3 years and have a constantly positive results. Now i wanna try to do this on stocks and discuss this here with all memebers. If you have any ideas, comments and etc. take a minute and post your opinion. Thanks for paying attention to me. Good trading to all.
I would stick with the indexes. They won't gap on you. You can diversify all you want but one bad play will wipe out 50 good ones. Not a good way to make a living.
I think he means... 1. What if you want to take profits early? or, more likely... 2. What if the position moves against you?
As a rule i let my options to be expired (that's why i sell stranggles and straddles) But if position moves against me i just close it at breakeven level or take small loss.