Could someone knowledgeable help clear this up for me? I've recently become very interested in options, but I've tried opening three or four small positions and haven't won any of them. I wanted to ask about an option today, $ETH . I bought a 2250 put at 2280. When I checked this morning, the price was at 2260, so I still had some unrealized profit. I thought I'd let it keep running.
Then I only just checked again, and the price hadn't gone back to 2280, but there was nothing left in my options account. Is that because even if the price doesn't move, an option's price keeps falling over time?
So, as I understand it, as long as the price hasn't reached my strike price but I'm still in profit, I should try to close the position and get out—is that right?
Then I only just checked again, and the price hadn't gone back to 2280, but there was nothing left in my options account. Is that because even if the price doesn't move, an option's price keeps falling over time?
So, as I understand it, as long as the price hasn't reached my strike price but I'm still in profit, I should try to close the position and get out—is that right?
