HI all, I need your help when Apple was close to 700 i bought some calls for Jan15 strike 600 and 700 I have about 3 contracts each, I lost a lot of money on them but should I sell the 700s??? and buy more 600 or hold?
My suggestion based on the following assumptions:
1. Apple will be on an up trend between now through April 2014. at least. (There will be some short-term dips due to market or profilt taking.)
2. Since your Jan 2015 call options are way out of the money, the time decay will be minimum between now and April 2014.
3. Whatever you do now will "lock in" your loss. Most of your loss are still "only paper loss"
I would do nothing until sometime in Jan - April 2014 to decide the next move unless Apple suddenly shoot up to near or over $600, then you can decide what to do!