1 Comment

I think this will help people understand why a good company can go down, or a bad company can go up in the short-term.

I occasionally trade in the short-term using long term fundamentals.

I buy long-dated options of companies with good fundamentals.

I take profits if it offers me an amazing return in a day or a week, or a month. I can at least take my initial investment off the table.

Otherwise, I wait.

Selling out of the money calls can offset the time decay as well. As long as the delta is low and the strikes make sense.

Expand full comment