Questions from an investor needed some answers on when to start a rescue strategy after a naked put position that was once out of the money, goes into the money as a stock declines.
Let’s review the question and then look at some answers.
Investor Questions
| Dear Teddi!I am a new member, admire your website. I have seen quite a few trading web sites. So far nobody stands even close in my humble opinion. If I may, I have a question. After selling naked put, and having my option in the money one day, how fast should I consider repair strategies, such as rolling down for example. Will I be assigned the shares any moment now or most probably it will happen closer to the expiration date of the option so I can still watch it for some more time? I understand it’s a random process, assignment of shares, but is there any statistics of how soon assignment of in the money options is performed? Thank you for your time, Roman |
The rest of this investor questions article is for FullyInformed Members.
Investor Questions: When To Start a Rescue of an In The Money Naked Put Option
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