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I spend a good portion of my day today researching "vertical spreads" to try to offset some of this priced in volatility. At any rate....I think I understand them almost completely..EXCEPT one huge question: How do I take my gains from a good vertical spread play? Do I sell the whole spread...

Well, I try to have a pretty good understanding of the stocks themselves, but I know market volitility and technicals effect the options an a lot. That is why I've allocated only a small part of my portfolio to this "experiment". At any rate, the last few posts are so far above my head...

Thanks for the thoughts, concerns, and encouragement. I made nice gains on Thursday and Friday with trades that I felt confident about....but as of right now I dont know where to position myself for Monday. I'm trying to be somewhat conservative. I set aside a specific portion of my...

Thanks for all your help. I really appreciate it, and I am not trying to be contrary, but I'm not sure I understand how owning the underlying stock would be more profitable. I'm going to illustrate with an example. On Thursday I bought Nov calls on Family Dollar Stores (FDO) with a strike...

Thanks everyone for the help. I understand better now the greater leverage existing the further out of the money you go. As for general options trading. I'm doing it on the super short term(if possitive obviously) I usually trade in and out of Otm calls the same day just trying to take...

Hey there. I'm pretty new to the options trading game. I get the underlining idea and have had pretty decent luck with my first few options adventures, but I have a newbie question about the value of an option in relationship to the increasing value of the stock. This evening I was...