Help

Option Traders Unite > Forum Posts

About Us

A meeting place for option traders to discuss strategies.

Active Since 11/27/07

Adminstrators

User Avatar
optionsguy
User Avatar
mikebmassey

Moderators

Keywords
Option Traders Unite Forum > Nailed by Pulte

Start A New Topic | View All Group Topics

User Avatar
User Avatar Brokerage Account

safety1st

Member since: Apr 09
5 Day -9.92%
15 Day 0.90%
1 Month 25.39%
3 Month 7.86%
6 Month -11.19%
1 Year N/A
As of: 11/20/09
How is this calculated?
Trades 36
Trade Notes 0
Blog Posts 0
safety1st Brokerage Account
Posted August 06, 2009 (10:01PM)
I've got myself in a bad position with PHM a few days ago on the 9 dollar puts.  I'm hoping for suggestions how to come out of it in the best shape.  It's 11.88 now and looks like its turning, but my nines seem to be too far away to make it by expiration in 16 days.  How would buying more at a dfferent strike or selling a call help me get more than a nickle out of it? 
User Avatar
User Avatar Brokerage Account

stugots

Member since: Mar 08
5 Day 6.95%
15 Day 6.61%
1 Month 1.68%
3 Month 6.90%
6 Month 18.00%
1 Year 25.28%
As of: 11/20/09
How is this calculated?
Trades 297
Trade Notes 274
Blog Posts 0
landlord
Age: 40's
stugots Brokerage Account
Posted August 08, 2009 (01:37AM)

The risk is too great..and the premiums are too small. I see no way out   Consider yourself lucky you bought the put and didnt short the stock. Thats what buying options is all about. you still have two weeks left for a possible drop in the stock and alot can happen in a few days so the nickle option might be worth holdin since the commission is $5. Better luck next time..Stu