Filled on 3 Trades With Peloton, Apple & Nvidia
Today, another high flying Monday is making it tempting to break my election strategy. I will stay strong!
While listening to the Amy Coney Barrett confirmation hearing makes it a little difficult to concentrate on trading but I was filled on 3 trades I entered. I entered trades to sell Calls with Peloton (PTON), Apple (AAPL) and Nvidia (NVDA). PTON was a Naked Call and AAPL and NVDA were Covered Calls. I was filled with all 3.
On Friday I was assigned on 3000 shares of PTON which were part of my Triple Play Hedge. In my report I said I was gonna leave this money idle until after the election, which I will. However, With the stock at $126 I did enter a trade to sell 10 contracts of the PTON 10/16/20 $135 Naked Call. I didn’t want to buy the stock but I want to bring in some premiums. I went out $9 with the Strike Price for protection. I hope the stock stays below my Strike of $135 and I never have to buy the stock to cover. If the stock continues on it’s crazy run I will buy and make this position a Covered Call.
Sell to Open 10 PTON 10/16/20 $135.00 C @ 85¢ (+$850)
My portfolio holds 1300 shares of Apple. 300 shares I want to keep, and I’ve been selling Calls on the other 1000 shares. Today I sold 10 contracts of the AAPL 10/16/20 $125 Call for a premium of $1.10 for $1100. To tell you the truth I really don’t care if I get assigned or not. I love AAPL!
Sell to Open 10 AAPL 10/16/20 $125.00 C @ $1.10 (+$1100)
I also own 1000 shares of NVDA at $553.85. I’ve been selling Calls and bringing in great premiums. Today I sold another Call which might be my biggest premium so far. I sold 10 NVDA 10/16/20 $565 Calls for a premium of $10 for a whopping $10,000 premium.
Sell to Open 10 NVDA 10/16/20 $565.00 C @ $10.00 (+$10,000)
My PTON Naked Call is on a very hot stock so I’ll give it a Risk Factor 4 because it’s $9 Out-of-the-Money.
AAPL and NVDA are Calls on previously owned stock so these trades get a Risk Factor 1.
I know it’s only Monday but I think these trades are the making of a very nice week.
Successful trading,
Steve
The Options Coach