selling options

M

Mdtbyk

I'm selling a ES call 2590 and is expiring in 3 days
now it says in the column of "unrealized profits or loss" is says -2500$ but if i go to option chain it says that i can sell at the same date a and same strike at 2590 for 78*50 which will give me 3900$ is isn't it worth for me to buy back my call and sell again at same time to cover up the loss?
 
I'm joking mate. You r gonna have losses in this business. If you want to short further options, you have to analyse the situation again and not let your current position affect the analysis.

Don't personalise your losses (or your profits). It's just part of the business.
 
There is a lot missing in your question.
But assuming there is not a mistake between different price types (bid, ask, mid, VWAP, last, peak, yesterday's freakin' close...), there is also the mystery of how you entered the position.

My guess is that your method of entry cost you $1500. :rolleyes:
 
Roderick said:
I need an ananylis of this situation and no reoccurence of it in the future =)
More...
The "Daily P/L" is usually* calculated from bid/ask mid-price which might be skewing things. In any case, the real numbers are in the bid/ask columns

*Depending on your broker
 
Lol, not this again, but while we're on the topic...if you hold until expiry you're guaranteed to keep 100% of the premium - talk about edge! Sell, sell, sell.
 
Yep, sellers of naked options never lose because they get a premium credit in their account which they get to keep no matter what. Uh-huh, great edge.:confused: :wtf: :(
 
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