Benji

JD - JD.com

Long
Benji Updated   
NASDAQ:JD   JD.com, Inc.
Earnings coming up soon and I like JD overall. Low part of the range after a great 2017.

I went with a synthetic covered call, selling the Aug17 $39 put for $1.90 cr. This trade is around a 5% cash ROC within the next 35 days.

I'll go for 50% W or continue rolling this position out, collecting credit through time.
Trade active:
Rolled out to the Sep21 $39 put for an add'l $.41 cr to reduce my basis and increase duration. Realized around -$100 on the roll, so we'll have to keep that in mind.
Trade active:
Rolling out the $39 put again for add'l $.19 cr in Oct19 cycle.
Trade active:
Trade is starting to look like a longer term hold, which is alright with me. The extrinsic in Oct19 cycle is disappearing quickly, so I had to roll this out to Dec21 cycle for add'l $.23 cr.

I am willing to hold long term, but I'd rather hold as short puts than shares (20% BPR vs 50% BPR), so I can continue to use capital else where. My overall basis across the accounts is $36.27.

I'm hesitant to sell naked calls against it right now (as I'm not put the shares yet), but it may be something I look into down the road.
Trade active:
I was put stock, so selling the Nov cycle $27 calls against this position for $.56 cr.

~$31.05 basis right now.
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