The market just opened in the U.S. but it’s 3:50pm here in Rome. I have 1000 shares of FB with a $120 Call on them to expire today at the close. The stock is hanging in the $118.50 area so I don’t think I’ll get assigned today. I just sold 10 more contracts of the FB $120 Calls to expire next Friday June 10th. I brought in a premium of $.71 ($710). This is a Call on previously owned shares so this trade gets a Risk Factor of 1, even though at the moment it a Naked Call until the close of the day and the shares I own will cover this new Call.
I stopped in my room so I figured let me make this trade before I get to the Trevi Fountain for a glass of wine. Here’s the sell order:
Sell 10 FB6/10/16 $120 C @ $.71 (+$710)
I’m working on putting some of the money I spent on this great trip back into the mattress.
I was in my room for 10 minutes and got this Call sold. I love this game! (If it works out the way I want lol)
Steve
The Options Coach