This is my first post here so please be nice :-)
I am new at options trading and I have placed a couple of initial trades to get started but I have a question.
I purchased 2 BHP June 1650 call options at 0.27
Should I sell 2 BHP June 1700 call options (current price 0.12) to reduce my outlay?
I realise that this would limit my upside but that's fine as I would most likely close my 1650 position before BHP reaches 1700 anyway?
My second question ... Right now without selling the 1700s I could close my position on my 1650s at any time and take a profit however if I sell the 1700s would I have to keep the 1650s until expiry? Because if I sell them then I would be naked on the 1700s.
If I sell the 1700s what are my options for closing my position? I guess I could buy 2 1700s to cancel out the sales but that would eliminate the money I made when I sold them.
I put in a sell order on these 2 1650s yesterday at 0.45 but it only reached 0.44 bummer :-)
Any oyher thoughts on this position would be great.