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Tuesday, October 19, 2010

IBM Strangle Update

IBM Dec 40 puts are around 5.50 or so.  Closing out the position for puts.  Holding onto the calls for now.

Afterthoughts:  Now I do think that IBM price would lean towards 133 area, but I still sold my puts ?  Why?  (Minimize dollar exposure ?  I recovered $5.50 of the almost $7 investment and expect the stock to go back up again so holding onto the calls for now).  - Once I figure out my own psychology, maybe I can become a better trader...

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