Sold 10 At-the-Money Covered Calls with Starbucks

I bought 1000 shares of Starbucks (SBUX) at $75.98 and sold 10 8/7/20 $76 Calls for a premium of 80¢ for $800.

Buy 1000 Shares SBUX @ $75.98

Sell to Open 10 SBUX 8/7/20 $76.00 C @ 80¢ (+$800)

I’m looking for some very safe trades. I think this one fits what I’m looking for. It an At-the-Money Covered Call with a very good stock. I received a premium of $800 which is a little over 1%. This trade fits into my “1 Week/1%” strategy. This trade gets a Risk Factor 1.

Successful trading,

Steve

The Options Coach