I thought I was playing it safe when I sold 90 Feb. 2012 Apple calls at 470 strike price. Apple announced earnings today, and its stock rose from 420 to 450 in after hours trading. What are the possible approaches? If I want to speak with an expert and get their advice, who would you recommend? How do I even find people to talk to online? Thanks in advance!
Depends on your margin and how much money you are willing to lose. If you can do a $350,000 loss, you should be fine.
Go back a couple of years and look at AAPL's movement after earnings...Usually it's gapped up, then sold off some...Will it repeat this time, who knows?! Market looks kinda toppy...but might get toppier still Good luck.
You sold 90 APPL Feb 470 calls and AAPL has risen from 420 to 450? Well, it could have been worse. It could have been me!!
the only thing u can do is either add new long positions or just sit tight and hope but hopefully u don't take any internet advice 'cause no doubt u are feeling pain and u don't need to add to the pain. consider something other than naked shorts on a stock like appl and just take it as a learning experience. don't worry u can recover just maybe not this month.