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re: Options Trading Thread

Posted on 10/5/22 at 10:23 pm to
Posted by thatguy777
br
Member since Feb 2007
2393 posts
Posted on 10/5/22 at 10:23 pm to
If already holding a long call going into earnings and the stock runs up I would typically cut part of the position and sell calls against what I leave on.

You could also sell calls against your position and buy some additional long calls at a higher strike to create an unbalanced butterfly

General market comment: NYSI has started to turn up. MACD is turning positive as well. Let’s see how the next few days shake out but we could get another multi week bear rally here. Last Thursday NAAIM was 12.6, that’s one of the lowest readings I’ve seen. Interested to see what it is tomorrow. Of course all this could breakdown Friday with jobs report. We are still in an overall bear trend

Posted by Jag_Warrior
Virginia
Member since May 2015
4180 posts
Posted on 10/5/22 at 10:58 pm to
Knowing that earnings are approaching, when do you typically look to establish those longs (calls or puts)?

BTW… interesting trading strategies there. Creating a “poor man’s covered call” after the fact and the butterfly.
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