Roll or closed and new order?

drcha said:
Sorry, but these questions can't be answered in a vacuum. And obviously, holding a spread is different from holding an option. Take a look at McMillan's book. He discusses many options for handling a trade that is not going your way, and points out the pros and cons among them. What is "pro" and what is "con" will depend on your thesis (your opinion about direction, volatility, or both). If you have a thesis, I think his book will help you to dissect what is best for you.
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I have read books, read forum threads, watch webinars/youtube clips etc. I am not an expert on options, but I am not a complete newbie as well. I don't think my question really requires all these (extra info, lectures etc) to be answered! If I don't get an answer to it, I will go figure it out myself. Thanks
 
truetype said:
These threads usually amount to: Is there a magic spread that will make my losses go away?... And the answer is no.
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Jeeze! For F**k sake! I did not ask nor am I after a magical way to make my loss go away. Just a simple question about the difference between the two!!!
 
danjuma, I'm trying to tell you that no one understands your question without more information. Otherwise I think someone would be answering it.
 
tommcginnis said:
Think you're getting stupid answers? Stop blaming those who take the time to respond to your (glib, inane, or ignorant) question; blame the question(er).

You've read books? Go re-read them. Do your own homework.

Sheeesh.
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Take time to reply to what! To reply just to ridicule me and tell me I am asking a stupid ignorant question like you! I would rather you pass by and ignore my question if you have no proper answer to my question. Thank you!
 
drcha said:
danjuma, I'm trying to tell you that no one understands your question without more information. Otherwise I think someone would be answering it.
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drcha, thanks for at leat trying to assist. Appreciate it!
 
danjuma said:
I pray for your assistance please regarding the following:

I BTO 1 INTC PUT strike 32 expiring 19/01/2018 for $3.09
INTC has gone up to 35.
As at now, I can roll up to a 30/35 bear put spread expiring 19/01/2018 for a debit of $1.14
OR
STC the 32 put strike for $1.58 (current bid) for a loss of -$1.51, and BTO the 35 put strike expiry 19/01/2018 for cost of $2.73 (current ask), for a total cost of -$4.24 (loss on closed option plus cost of new opened option)

My question/confusion is what is the difference (advantage/disadvantages) between rolling and just closing and opening a new trade, as -$1.14 (cost of the spread) would seem far much cheaper than the -$4.24. Obviously, there is something I am missing or don't understand. Many thanks
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I don't know why you are so upset when folks tried to help and asked you to clarify your question. Most of the comments are actually very insightful if you want to do real trade instead of paper trade. So, instead of getting upset, think carefully about what they said.

Your bear spread had limited gain whereas if you just rolled, your cost was higher but as drcha said, if your original view was still correct, your simple roll would have unlimited gain.
 
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