Managing an Options Straddle.

Rishi writes:
Quote
Thanks for the call to buy 3600 long straddle.
Now the Q is how to square off postion on Monday.
1. If Nifty opens up gap up of 200 points.
2. If the gap is more than 200 points.
3. If it opens flat with just gap up of sat 50 points.
4. Last but not least if, Madam (M) creates some problem and we open flat to negative.
Please advise how to reap max profit out of 3600 Long straddle.

My Notes:
Method#1: Since the straddle has been taken to take advantage of the news event, we should sell both legs on Monday.
Method#2: We can sell the PUT and wait for three more days, in anticipation of further rallies.

Method 1 is useful if Nifty opens 200+ above. Method 2 may be appropriate if the opening gap is less than 200 points. Why should we expect the Nifty to open negative when there is favorable news?