Friday, December 20, 2013

Closed FXI Naked Put on Expiration Date

I finally closed the short Dec$37.50 puts on FXI today by buying them back at a cost of $0.13. I decided to take a good amount of profit on the expiration date, rather than getting assigned to FXI as the stock price was a few cents below strike.The intention is to sell another put when FXI rebounds.

As a winner management strategy, I could have set an good till cancel order to buy back the short put at a price of $0.10 to reduce risk of getting assigned when FXI fell. This option price was reached recently intraday, but not at the AM time period when I was trading.

I'll post the complete time decay chart of this option later with further analysis of the put selling strategy in the next few days.

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1 comment:

  1. With Call Option Put Option Tips a trader can decide when to short and when to long the stocks.