Option Strategy - Long Stock; Stock UP/ DOWN since Purchase - what next?

Long Stock, Stock UP since purchase

Next steps

1. Take no action - monitor price and change strategy if price outlook sours

2. If want to sell at my Target Price --> write Covered Calls

    - look for Strikes = stock target price, short time to expiration, high option premium

    - at least gain premium from selling

3. Buy Protective Put to protect downside, but require cash outlay to purchase

    - protective put will "kick in" when price drops to strike price

    - "insurance" is valid until expiration date

*Credit: OIC Beginners - Managing Stock Positions

Long Stock, Stock DOWN since purchase

Next steps

If stock is DOWN 5% to 10% since purchase

1. Sell the stock - cut loss

2. Take no action - might be market adjustment. 

    If I don't see any news and outlook on the firm remains unchanged. It is OK to ride out the downside

3. Write Covered Calls

    - sell to someone the right to purchase the stock at the strike price within the time frame

 If stock is DOWN 10% to 15% since purchase

1. Sell the stock - cut loss

2. Take no action - might be market adjustment. 

     If I don't see any news and outlook on the firm remains unchanged. It is OK to ride out the downside

3. Repair - "Double Up" 

i.e. purchase the same number of shares at the lower price 

(Pro) -  to reduce Average Cost

(Cons) - double the shares, double the loss

3. Write Covered Calls

Which method to choose?    --> see the yield (options calculator)

 If stock is DOWN 20% to 25% since purchase

1. sometimes when I cannot choose the suitable priced short term option  --> try LEAPS

*Credit: Managing Stock Positions