In a message on twitter, an investor asked for some information on his XBI ETF position. His question is on rolling short put options forward.
The investor is holding a number of short put options against XBI ETF which is down 41% from its 52 week high. His questions are on these topics:
- understanding more on rolling short put contracts positions forward
- a method for identifying support levels in XBI ETF
- how to setup Put Selling strategies using those support levels
- how to roll positions almost indefinitely in XBI ETF
- how to protect while still trying to profit in a decline
This strategy article is for members. It is 2800 words in length and requires 9 pages if printed.
The rest of this strategy article is for FullyInformed members.
Understanding Rolling Short Put Options – Investor Questions On XBI ETF
Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk. Please read the full disclaimer.