(05-17-2020, 10:53 AM)NilesMike Wrote: I still don't understand selling puts when you have a bearish outlook on a stock?Did you miss the part that I am dumping the shares first, then immediately selling a new put a few bucks (or whatever) cheaper? There are no new shares. The same 100 I had (per contract obviously), unless the stock runs as I then incorrectly called the bottom. I'm not averaging down a dog with additional new shares.
Selling puts is a bullish strategy??
I get that you had success with it but I don't think it's an advisable and sound exit strategy for stocks put to you and are still dropping???
Seems like a way to get stuck with even more shares of a stock you are bearish on????
What's your exit strategy? Just sell it and run? I definitely do that sometimes if it makes sense.
And BTW I didn't know DAL was a sure dog at the time.