Things were going so well for my short positions until the Employment Report came out this morning. The report said we had an increase of 280,000 for the month of June. This was the largest one month gain since we were keeping track. I’m sorry but I don’t believe it! This is an election year and many think the Obama administration is messing with the numbers. As a result the market is up over 240 points. This is great for the stocks you and I own but it’s not great for short positions. I had a 50 contracts $18 Call expiring today but I just did a Roll Out. I bought back the $18 Call and sold an $18.50 Call expiring in two weeks. If the stock stayed below $18 it would have expired. With the big day today as a result of the Employment Report the stock went up to $19. Below is the Roll Out orders.
Roll Out
Buy to Close 50 X 7/8/16 $18 C @ $1
Sell to Open 50 X 7/22/16 $18.50 C @ $1.17
Enjoy the weekend! Watch for my week ending report. I had another good week.
Steve
The Options Coach