Sold Calls on 4 Previously Owned Stocks

I started the week with selling Calls on 4 stocks that I previously owned. These stocks were bought, had Calls sold, and I was not assigned. The market is up today so I was able to get Calls sold I’m happy with.

I bought 500 shares of Draftkings a month ago at $41.50. The stock dropped almost $10 so getting Calls sold with a good premium is very difficult. With these 500 shares instead of waiting for the stock to get beck up to my buy-in price I decided to go out to 7/24/20. That’s 19 days away, and I only got a 1.4% return on my investment, but it’s better than having this stock position just sit idle. This $300 will help pay some of my margin interest. I sold 5 contracts of the 7/24/20 $41.50 Calls

Sell to Open 5 DKNG 7/24/20 $41.50 C @ 60¢ (+$300)

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I got a 5 contract Call sold on the 500 shares of United Airlines (UAL) I own. I received a premium of 70¢ for a Return on Investment (ROI) of 1.9%.

Sell to Open 5 UAL 7/10/20 $37.00 C @ 70¢ (+$350)

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Last week I bought 1000 shares of Micron (MU) at $51.75 and sold a Call. I was not assigned so today I sold another Call. I sold 10 contracts of the 7/10/20 $52 Call for a premium of 70¢ for $700. ROI 1.3% for the week.

Sell to Open 10 MU 7/10/20 $52.00 C @ 70¢ (+$700)

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Last week I bought 1000 shares of DKNG, in addition to the 500 shares I own. These shares I bought at $33.97 and I just sold a 10 contract Call to expire this Friday for a premium of $1.20 for $1200. ROI 3.5% for the week.

Sell to Open 10 DKNG 7/10/20 $34.00 C @ $1.20 (+$1200)

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All of the Calls above are Covered Calls on previously owned stock so they all get a  Risk Factor 1.

I like the start to my week.

Successful trading,

Steve

The Options Coach