Busy Day, Locked in a Lot of Money
If you read my Results Week Ending 5/8/20 you know I’m very concerned with this market. I mentioned I was gonna start dumping some of my LEAPS positions. I want to get back to selling my Calls, mainly Naked, and try to stay away from Long positions for a while. I will have some Long Positions but I’m not gonna start stacking them up yet. I cannot see this market continue to fly like it’s been. If I’m wrong I’ll make my money the way I know best, Selling Calls.
Today I decided to lock in some profit. It might have been the best Monday of taking profit ever. I started with getting out of a Twitter (TWTR) position. Then I sold LEAPS positions with PENN (2 Contracts), NVDA (1 contract) and RH (1 contract). These was small positions that gave me big profits. Check out the profit I took on these LEAPS that I held short term. I love the power of LEAPS! I just don’t trust this market.
5/8/20 – Sell to Open 10 TWTR 5/15/20 $29.50 C @ $1.03 ($1030)
5/11/20 – Buy to Close 10 TWTR $29.50 C @ 73¢ (-$730)
Profit +$300
4/2/20 – Buy to Open 2 PENN 1/21/22 $10.00 C @ $5.40
5/11/20 – Sell to Close 2 PENN 1/21/22 $10.00 C @ $12.00
Profit +$2400
4/21/20 – Buy to Open 1 NVDA 1/21/22 $270.00 C @ $68.00
5/11/20 – Sell to Close 1 NVDA 1/21/22 $270.00 C @ $100.00
Profit +$3200
4/22/20 – Buy to Open 1 RH 1/21/22 $125.00 C @ $47.00
5/11/20 – Sell to Close 1 RH 1/21/22 $125.00 C @ $73.00
Profit +$2600
Along with these moves I sold a 10 Micron (MU) Call for a $500 premium. This will expire Friday. Hopefully I won’t have to cover.
5/11/20 – Sell to Open 10 MU 5/15/20 $50.00 C @ 50¢ (+$500)
I would say these small LEAPS worked out nicely. This is a great way to start off a week, locking in $8500.
From here the market can go up or it can go down, this $8500 is locked in! And it’s only Monday!
Successful Trading,
Steve
The Options Coach