Another Grasshopper Trade with Pinterest

I just bought 100 shares of Pinterest (PINS) at $30 per share and sold a 3 day At-the-Money Covered Call. I sold 1 PINS 1/17/25 $30 Call for a premium of 60¢ for a total of $60.

At-the-Money Covered Call

Buy 100 Shares PINS @ $30.00

Sell to Open 1 PINS 1/17/25 $30.00 C @ 60¢ (+$60)

This position expires this coming Friday, Jan 17th. The 60¢ premium is Return on Investment (ROI) of 2%. If assigned I will not make any money on the stock sale. I’m in this trade for the premium only.

If you make a trade every week for a 2% gain it would add up to 104% for the year. I don’t care how much I invest and get as a return, I go for the ROI, and 2% for a 3 day trade is fantastic! This is a great Grasshopper Trade!

 

Successful trading,

Steve

The Options Coach

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