aggiehunter3 said:
aggiehunter3 said:
aggiehunter3 said:
oldarmy1 said:
AggiePeeps06 said:
Couldn't you just sell calls against the holding instead of selling the actual holding?
I'd hate to sell 50% and miss out on a continued rally
Depends on the number of shares you planned to carry longer term. If you have 300 shares then you wouldn't do a thing. If you owned 10k shares you might sell a covered call against 25%-50% of your holdings. When you accumulated 145k shares with a goal of holding 50k longer term you do any of the above, including straight selling, up to 95k shares.
What would be your strategy on LEAP calls? I started trading options in February, so still pretty new. I've mainly bought only weeklies or a couple weeks out so far. My basic strategy for exiting is to sell 50% at a double + commission in order to take all risk off. The tricky thing for me is determining my sells for the other half of the positions. I've caught some big runners in recent weeks (baba, aapl, bidu, chk), but have had a tendency to sell a little early.
Here's an example with CHK: last month - I made a small bet 100 contracts $4 strike 7/20 expiration .10 premium when the stock was trading around $3. Earlier this week I sold 50 contracts at .24, I sold another 20 contracts at .53, so now I have 30 contracts remaining. Even if these expire worthless I'll net $1k gain off the trade. Of course I'm sitting here kicking myself now for selling the first half so soon, as I missed out on ~$2k on the spike to .7 this morning.
Remaining calls are now .84 from my .1 entry with 2 months until expiration. I love options.
My other open option positions:
1. 1/18/19 EPD $30 calls .80 premium (large call sweepers in these calls- 25k open interest following "smart" money)
2. 6/15 CL $65 .35 premium (looking for an oversold bounce)
3. 7/20 LPSN $20 .5 premium (overbought chart but in breakout mode - looking for continued momo into next q earnings)
4. 5/25 XLI $77 .1 premium - sold half today at .25 chart busted through lower high resistAnce
Update on positions:
1. EPD hammered with oil this morning and calls down 25%, not too worried, since they're leaps
2. CL upgraded this morning PT $72 calls are sitting .65 with 3 weeks til expiration
3. LPSN - these calls are getting no volume, so sitting breakeven
4. XLI - sold the other half breakeven
5. Entered into 6/15 AAPL 190s $2.05 premium - chart still looks great and calls up 30%
6. Entered into 6/15 EA 135s $1.30 premium - chart flagging very similar to aapl and been range bound with 135 resistance and tons of support at 130. Looking for it to break out of the box
Update on positions:
1. EPD nice bounce back and calls now up 20% plan to hold this position LT
2. Sold half CL today +110% all risk is off so will hold through exp
3. LPSN up 25% still no volume
4. AAPL bs downgrade today held it down. Super tight bull flag, so I still think they pay by exp
5. Sold EA -10% yesterday on the market tank
