Results Week Ending 4/9/21
I’m still in Boston and today is going to be a beautiful day, so I’ll be very quick. It’s going to be the warmest day of the year, 73º. I’ll enjoy the outdoors today before driving back to NY tomorrow. I’ll do some laundry and I’ll be off to Florida Tuesday morning. If anyone is in the Ft Lauderdale area and needs an in-person options lesson send me an email.
Let’s talk trading. I’m very happy with the way this year is going. Take a look at my “Trade History 2021.” I brought in a ton of money. However, that’s not the whole story. Most of the readers know I’m holding some positions that are down big from where I bought-in. The positions are Peloton, Palantir and the EV stocks. But I’m really not worried. If I continue bringing in the money I have been from premium and assignments, I’ll have a great year. Most know my weekly goal is $10,000 a week in premiums. If you look at my “Trade History 2021” you will see I’ve been achieving my goal.
As Grasshoppers, continue working on the weekly percentages. Try to take in between 1% and 3% a week on money invested. Don’t worry about the amount of money, work on percentages. Before you know it your account will be growing along with your weekly percentages. The bottom line is you must stay disciplined and stick to a strategy. Slow and steady, steady and slow!
Below are the trades that gave me another great week.
Sherwin Williams
Some of you might remember I bought a SHW LEAPS when they announced a stock split. I sold the position this week. I bought 1 contract and I ended up with 3 on the 3:1 split.
Post 3 to 1 Split “Sell to Close”
2/8/21 – Buy to Open 1 SHW 1/21/22 $740.00 C @ $71.00
4/5/21 – Sell to Close 3 SHW 1/21/22 $246.67 C @ $27.00
Profit $1002
Advanced Micro Devices
I bought 500 shares on 3/11 and have been selling Calls every week without assignment. I was finally assigned.
Assigned Covered Call
3/11/21 – Buy 500 Shares AMD @ $81.07
4/9/21 – Assigned 500 Shares AMD @ $81.50
Profit +$215
4/1/21 – Sell to Open 5 AMD 4/9/21 $81.50 C @ $1.10 (+$550)
4/9/21 – Expired 5 AMD 4/9/21$81.50 C
Profit +$550
Penn Gaming
Sold another Call on PENN with a nice premium but was not assigned. Hopefully sell another on Monday.
4/1/21 – Sell to Open 10 PENN 4/9/21 $112.00 C @ $2.10 (+$2100)
4/9/21 – Expired 10 LENN 4/9/21 $112.00 C
Profit +2100
Applied Materials
AMAT shot up this week and I thought I’d be assigned for sure, but after the company came out with guidance the street didn’t like the stock dropped back a little. I wasn’t assigned but I still love the stock. This was a great premium!
4/5/21 – Sell to Open 10 AMAT 4/9/21 $143.00 C @ $4.00 (+$4000)
4/9/21 – Expired 10 AMAT 4/9/21 $143.00 C
Profit +$4000
Tesla
Tesla had me a little worried because it dropped down to the $600 area. But after a great car delivery report the stock popped back up to close to $700. I should get another good premium this week.
4/5/21- Sell to Open 2 TSLA 4/9/21 $710.00 C @ $15.00 (+$3000)
4/9/21 – Expired 2 TSLA 4/9/21 $710.00 C
Profit +$3000
Square
I bought 500 shares of SQ at $228.40 and sold a $230 Call. In a few days the stock shot up to 261. Crazy! I was assigned with a big Opportunity Lost. No problem! I got what I signed up for.
Assigned Covered Call
4/5/21 – Buy 500 Shares SQ @ $228.40
4/9/21 – Assigned 500 Shares SQ @ $230.00
Profit +$800
4/5/21 – Sell to Open 5 SQ 4/9/21 $230.00 C @ $4.00 (+$2000)
4/9/21 – Expired 5/SQ 4/9/21 $230.00 C
Profit +$2000
Cree
Sold another Call on Cree without assignment. Hopefully sell another this week.
4/5/21 – Sell to Open 10 CREE 4/9/21 $122.00 C @ $1.00 (+$1000)
4/9/21 – Expired 10 CREE 4/9/21 $122.00 C
Profit +$1000
Snap
I’m not a big Snap fan, but it looks like the stock is becoming a favorite on the street. I was assigned on this 5 contract Call.
I entered this position for the 3% premium and to get assigned. When I do this I make very little on the stock sale but getting assigned is more likely.
Assigned Covered Call
4/6/21 – Buy 500 Shares SNAP @ 57.90
4/9/21 – Assigned 500 Shares SNAP @ $58.00
Profit +$50
4/6/21 – Sell to Open 5 SNAP 4/9/21 $58.00 C @ $1.70 (+$850)
4/9/21 – Expired 5 SNAP 4/9/21 $58.00 C
Profit +$850
Peloton
I sold a 10 contract Call on PTON. The stock shot up to $3 above my Strike Price. I own the shares to deliver but I didn’t want to deliver these shares because I bought them at a much higher price. When the stock dropped down to my Strike Price I decided to buy 500 shares. I would need 1000 to cover this Call but I was just buying 500 at a time to see what happened. The stock stayed below the Strike Price and I wasn’t assigned. I now own another 500 shares of PTON. I’m not too worried because it looks like the stock wants to move up. However, the stock was on the Unusual Activity list this week for Puts. I’ll watch this stock closely to determine my next move.
4/6/21 – Sell to Open 10 PTON 4/9/21 $120.00 C @ 45¢ (+$450)
4/9/21 – Expired 10 PTON 4/9/21 $120.00 C
Profit +$450
After O bought the 500 shares I was gonna write a little about my thoughts, but I’m in Boston and staying a little busy. If the explanation above is not clear send me an email and I’ll explain my thoughts further.
U.S. Steel
After I made this Grasshopper Trade the stock dropped back a few dollars. I was not assigned. I’ll take the 2.2% premium and try to sell another Call this week.
4/7/21 – Sell to Open 1 X 4/9/21 $24.50 C @ 55¢ (+$55)
4/9/21 – Expired 1 X 4/9/21 $24.50 C
Profit +$55
Total Weekly Gain +$16,072
Another great week! On my way out for some fresh air. Enjoy the rest of the weekend.
Successful trading,
Steve
The Options Coach