The Volume and Open Interest for VPRT is very low in November and low in October. Do you have a recommendation for minimums on either prior to purchasing options?
The low volume and open interest is why the spreads are so wide. This is a more speculative trade, so I really have no specific recommendations with respect to minimums. Instead, assuming you decide to take the trade, the risk management that I use is position size.
Oct $30 Call Options continue to fall for the 2nd day in a row. Buying near the top of the channel, or the Bollinger band, was probably early. I am in at $1.35 (they are trading at $0.90). The more prudent move would have been to wait until a small pullback or a pullback along with an expected market pull back. Thats life. The question I have is how do you cover your position so you are out of the trade with a small lose and not a big lose (“don’t let small loses turn into big loses”) while still not getting stopped out before a run back up???
Oct $30 Call Options. I exited my position today at a loss today. With the short time left on the option and the lack of volume I decided to take my lumps and exit teh position. Not a good experience but I chalk this up to an expensive options education.
The Volume and Open Interest for VPRT is very low in November and low in October. Do you have a recommendation for minimums on either prior to purchasing options?
The low volume and open interest is why the spreads are so wide. This is a more speculative trade, so I really have no specific recommendations with respect to minimums. Instead, assuming you decide to take the trade, the risk management that I use is position size.
Oct $30 Call Options continue to fall for the 2nd day in a row. Buying near the top of the channel, or the Bollinger band, was probably early. I am in at $1.35 (they are trading at $0.90). The more prudent move would have been to wait until a small pullback or a pullback along with an expected market pull back. Thats life. The question I have is how do you cover your position so you are out of the trade with a small lose and not a big lose (“don’t let small loses turn into big loses”) while still not getting stopped out before a run back up???
Oct $30 Call Options. I exited my position today at a loss today. With the short time left on the option and the lack of volume I decided to take my lumps and exit teh position. Not a good experience but I chalk this up to an expensive options education.