Skip to main content
No. of Recommendations: 1
"By 'exit the whole position', do you mean sell the long call too? THAT would cost me money! The long call is down $2.98 since I bought it. Assuming that the stock (and the option price) does not recover before Jan 17, I need to sell more short calls to at least make up for that loss on the long call (and yes, I understand that there is a risk that the long call could decrease in value even more - especially since it's losing time value). I entered the position on MFO advice - athough I can't remember at this point whether is is an 'official' trade or a TYCM - so I don't know if there will be further advice from MFO."

Demotage,


If you want to keep the position open, yes - hold your long call and roll now. (just make sure that you're comfortable holding GRMN long term)

Since you're still a member of MFO, have you posted your question over there? (I imagine that Jim likes GRMN and most likely thinks it's undervalued.)

Your thought process about "losing $300" on the long call isn't helpful.
You're going to have to change that type of thinking to be successful in the stock market:
- "Would I buy this stock today?".
- "Do I want to be invested in this stock longer term?". -- That's what matters. Don't "fixate" on a certain price (that you paid or where the stock has been).

sincerely,
martin
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.