While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to six-month time frame, Mad Day Trader, provided by Bill Davis, will exploit money-making opportunities over a brief ten minute to three day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
SNAP is getting a nice push today based on some positive comments from an analyst. Credit Suisse upgraded and it is trading around $15 as I write this.
As I result, I do not want to risk an assignment on the $15.50 calls that expire in two days.
Especially, when we can close out the position for 3 cents.
My suggestion is to Buy to Close the October 13th - $15.50 calls for 3 cents.
You may have to pay up to 5 cents, but it is still worth closing the position.
Assuming that SNAP keeps running, I will look to roll out to a higher strike and sell more time.