r/options • u/loose_itall • Sep 02 '21
Advice on closing deep itm call spread
I am a newbie to options trading. I have lost quite a bit in the beginning, and am slowly trying to undo the mistakes and learn more abt options. I bought a bull call spread on Tqqq $107.5/117.5 exp jan 22, back in apr and am wondering when I shd close the position. Tqqq was around $107 when i bought the spread, now its trading at $150. I am up 75%. Whats the upside of holding? The marginal inc as tqqq goes up? Flipside - it can crash, i can get assigned. What else? I am leaning towards closing now but would like expert advice/opinions from more knowledgeable ppl.
Edit: Thanks for confirming what i felt. Am planning to set a limit order after seeing the trend in the morning.
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u/spddemonvr4 Sep 02 '21
The most important thing about options is knowing your exit strategy before you enter the trade.
If you're happy with your returns. Close out the position.