Note: The material presented in this commentary is provided for informational purposes only and is based upon information that is considered to be reliable. However, neither PSW Investments, LLC d/b/a PhilStockWorld (PSW) nor its affiliates warrant its completeness, accuracy or adequacy and it should not be relied upon as such. Neither PSW nor its affiliates are responsible for any errors or omissions or for results obtained from the use of this information. Past performance, including the tracking of virtual trades and portfolios for educational purposes, is not necessarily indicative of future results. Neither Phil, Optrader, or anyone related to PSW is a registered financial adviser and they may hold positions in the stocks mentioned, which may change at any time without notice. Do not buy or sell based on anything that is written here, the risk of loss in trading is great.
This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities or other financial instruments mentioned in this material are not suitable for all investors. Any opinions expressed herein are given in good faith, are subject to change without notice, and are only intended at the moment of their issue as conditions quickly change. The information contained herein does not constitute advice on the tax consequences of making any particular investment decision. This material does not take into account your particular investment objectives, financial situations or needs and is not intended as a recommendation to you of any particular securities, financial instruments or strategies. Before investing, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.
Contact us: support@philstockworld.com
© Copyright - PSW, LLC.
2024
June 29th, 2008 at 8:51 pm
I have similar contstraints – full time job etc plus one additional – I dont have margin account so I cannot sell lower strike call than my long. I have been trying to follow LTP strategy for last 3 months. It has been difficult for me to follow one aspect of strategy – "the ability to roll my position (long AND short) down a strike for essentially even money". Sometime it is easy but with some positions, it is not clear. For example, I have HD $25 2010 and I covered with $25s when HD was 26. As of today, my callers are routed and HD is at 24. Since I can not sell lower calls, I must roll down my longs before I can sell the calls. For rolling down, it costs 2.7 to roll 25s to 20s and I dont want to sell 22.5s (which give me only 2) when HD is at 24. I think it is the strikes available for a particular Stock that I should keep in mind when I enter a position. I will monitor your positions that you post to learn this aspect among others. Thanx for your efforts.