For a profit of $50. That’s 8% profit for investment of $600.00. Not much!
I have become convinced that when the profits run, let them run. However, when the markets aren’t moving much, it’s better to make a small profit and close position. Better to have cash on hand ready for opening a new position than to sit and wait out the market and wait for it to make more profit. Nov 27 calls were at .70 at one point but that was before I got a chance to monitor the markets today. I had set a limit for $1.00 last nite, but wanted to move it to .70 last nite. Didn’t get to it due to being busy. However, set a .65 limit and it executed sometime before noon.
Reentered the position at .53 for 10 Nov 27 contracts. Not much movement either way. But hopefully it will have a nice $50-$100 payoff. I know I could wait for more, but since Oct. is free trades, it feels good to enter and exit positions as if playing Forex – trade without abandon on the commissions point.
Another benefit of holding overnite is that it won’t count as a daytrade for the PDT rule.