I’ve traded vertical spreads and iron condors, but only bought or sold a put/call by itself a few times. I bought one lonely call at 24.15 this morning! (Very small account size.) My question: how do you know when to sell (i.e. for profits; I have a 24% stop in place)?
my experiences has been, buy calls and only sell puts when the market hits something hard enough that you can see it bounce off the lower bollinger bands (fundamentals being right like on AAPL) then you at least have a fighting chance.
At all events, I sold for 22.30 just now. Chart doesn’t look good to me right now. For one thing, there’s a gap below @ 675-670. May want to fill it, now seems like a good time since they have run out of phones and the factory worker issue in China. Still like the company and stock should higher, but for now I am out.
I’ve traded vertical spreads and iron condors, but only bought or sold a put/call by itself a few times. I bought one lonely call at 24.15 this morning! (Very small account size.) My question: how do you know when to sell (i.e. for profits; I have a 24% stop in place)?
my experiences has been, buy calls and only sell puts when the market hits something hard enough that you can see it bounce off the lower bollinger bands (fundamentals being right like on AAPL) then you at least have a fighting chance.
Sorry, I meant when do you know when to sell a call you’ve bought that has become profitable? Strict profit target (50% e.g.)? Just read the chart?
At all events, I sold for 22.30 just now. Chart doesn’t look good to me right now. For one thing, there’s a gap below @ 675-670. May want to fill it, now seems like a good time since they have run out of phones and the factory worker issue in China. Still like the company and stock should higher, but for now I am out.