OK,I have a ITM covered call and, I'd like to add to my stop on the underlying long position an order to close an existing short option order. How do I do it? Basically, I want out of both positions if the stop is hit.
Adding a OTO order to a stop
- Thread starter SoCalOptionsWriter
- Start date
Convert the CC to a short put & place a sell-stop order on the stock.
If the sell-stop gets hit you close both positions manually.
Placing a SL on the option risks a rise in volatility without a move in the stock.
I understand what you’re doing here but for my own reasons want to keep it as a covered call. Other thoughts?