Bought 1 RH Call (Split Strategy)

Since RH announced a 3:1 split I entered 2 positions. And I exited both making a $1100 profit on each. The first I made $1100 in 11 days and the second I made another $1100 in 1 day. This morning I bought another 1 contract Call. With the stock at $342 I bought 1 6/17/22 $340 Call for a premium of $33. My investment is $3300. I’m hoping to get out of this position with the premium at $43. This will give me another $1000.

Buy to Open 1 RH 6/17/22 $340.00 C @ $33.00

 

I went with the Expiration Date of 6/17/22 which is 58 days away. The company didn’t announce the splitting date yet but they said it would be in the 2nd quarter. I hope to grab another $1000 and get into another position before the split. In addition I’ll get into a position after the split.

 

Successful trading,

Steve

The Options Coach