I bought 25 contracts of $KO 62.50 calls expiring on July 21st at an average price of .78 between May 24th and May 30th. I work nights so I stayed up late today and it shot up at open. I ended up selling all 25 contracts for 1.60 each.
I know making a little over a 100% returns in just under 2 weeks is amazing but it continued to climb and I woke up to them being 1.91.
Do you become desensitized to this or is it always annoying to see what you missed?
Does missing out on gains every become less annoying?
byu/PsychologicalTaro398 inoptions
Posted by PsychologicalTaro398
7 Comments
Focus on the win! Another thing I might have done in your situation is to sell 15-20 of the calls and let the rest ride a bit longer. Either way you’d win, you’re just leaving the door open a bit longer.
I tend not to look at where I’ve been, but instead, where I’m going. Once I close out of a trade, I don’t pay much attention to it. Sometimes, it will be obvious and I can’t help it – but I try not to actively look.
Now, full disclosure : I mostly trade spreads where it’s kind of complicated to see where it would be. So it’s a lot easier in some cases to ignore.
It’s almost a guarantee whatever you buy will go at least a little bit lower or whatever you sell will go at least a little bit higher. So it’s not really rational to think like you do and expect to trade perfectly. I don’t focus on trades individually much but rather how my account is doing as a whole
That used to bother me….I sold for a nice gain in SMCI at the end of Jan…And that caused me to break my rules on other positions and hold longer, only to see all those gains wiped out and often having to sell at a loss.
Stick to your rules, execute your rules. Take the gain, don’t gamble.
If that’s what haunts you, just wait, it gets better.
> Does missing out on gains every become less annoying?
Yes. If you do this long enough, you’ll see enough situations where it tanks after you take profit and are glad you got out. Or you didn’t sell because you got greedy and it tanks, and now you’re holding on to a loss.
No one ever went broke taking profits.