Options Bootcamp 40: Trade Adjustments

Basic Training: The topic of the show today comes to us courtesy of a listener question. Question from Dr. Toboggan: Love the podcasts. Would like to see an episode (maybe options bootcamp) that covers trade adjustments. This was been the most difficult aspect of learning to trade options for me, and would be useful now that you've covered most of the basics on this program. Specifically, would like to hear a discussion on how to adjust trades when the stock moves against you (i.e. price hits the short strike in a condor/credit spread, or the wings of a butterfly). Thanks Adjustments are where the rubber meets the road from an options perspective. What are adjustments? Why have an adjustment strategy? When do you make the adjustment? Basic Adjustments: Close positions and close portions the of trade. Adjusting into spreads. Good rolls vs bad rolls. Long premium vs short premium.