Ask Alan #244: Why Buy Back an Option for a Loss?

Ask Alan #244: Why Buy Back an Option for a Loss?

 Alan, Using your covered call video example, the ITM premium is $8.05, but that is made up of $7.30 of intrinsic value and $0.75 of time value. So, if we buy back the option when its price falls to $1.60 (20% BTC) that $1.60 consists of all time value or upside in...
Ask Alan #244: Why Buy Back an Option for a Loss?

Ask Alan #238: Why consider Rolling-Out?

 Hello Alan, I am new to BCI, but I have read your books, and I am now paper trading to test what I have learned. I could not be happier with what I am learning from your books and from paper trading using your methodologies. After my first month of paper trading, I...