I put this on on April 1st, thinking it might be a while before I could take it off, but covered it today on this pop, freeing up the buying power for another go should be strike $17 again. I put it on for $373/contract, and took it off today for a $419 credit, yielding a $42.93/contract profit in six days. Naturally, this isn't hugely earth shattering...
Sorry I didn't get to post this before NY close ... . Filled for a $94 credit. I usually like to see a $100/contract out of these setups, but I figured it was close enough ... . I'm looking for price to stay between my short strikes between now and expiration and for volatility to contract post-earnings announcement. Post-announcement, price is down about $2...
March 18th SVXY 31/35 ShortPut Credit Spread 1.64/$164 Max Profit Per Contract
With covered calls, I look for cheap underlyings with high implied volatility rank/high implied volatility and setups that will produce at least a 10% return if called away at the short call strike. WFT fits the bill, with a rank of 72, an implied of 84, and a 13.06% return if called away at the nearest out of the money strike. Here's the setup: Buy 100 shares...
Having waited a long time for West Texas Intermediate to hit 2009 levels, I figured I'd put my money where my mouth was and go long USO when it did. I filled this one earlier today: Bought 100 Shares USO @ 10.05 Sold 1 Feb 19th 11 Call Total Package: 9.69 debit Max Profit: $131 (if called away at 11) You could probably get a slightly better fill than I did, as...
Having gone somewhat "covered call" crazy last month and being somewhat ball and chained to those for the near future (most are Feb 19th expiry setups), I figured I'd turn my attention to old bread and butter standbys while I work through those particular trades, looking for setups that I can put on fairly cheaply from a buying power perspective. One of these is...