Starting to try a cash flow method on a low priced stock. NOK has earnings soon, so IV is pumped up here.
$6 put was trading for $.15 when I sold them, ~2.5% premium for $600 in stock over the course of 25 days. If I am assigned, I'll look to sell calls immediately again, hoping to get the stock called away and start the process over.
If I am stuck holding the company for awhile, it sports a 2.9% divvy as well. I am not looking to hold this too long to receive that entire 2.9% yield, but it doesn't hurt.
Trade closed: target reached
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Covered this morning at $.06 db each, 60% winner and 1.5% ROC in just a few days. here.