YOu mentioned exiting in/out spread trade early. Don't you lose the advantage of a spread trade doing that? Exiting early means you have to buy back the short side thereby losing most of the money made on the short sell. I thought, if the market is with you, you had to stay in the spread trade until the expiration date to realize the full profit of the spread.
dhg
1 Comment
Donald Groce
September 20, 2016YOu mentioned exiting in/out spread trade early. Don't you lose the advantage of a spread trade doing that? Exiting early means you have to buy back the short side thereby losing most of the money made on the short sell. I thought, if the market is with you, you had to stay in the spread trade until the expiration date to realize the full profit of the spread.
dhg