This was a pretty simple week, only having 2 trades come to an end. I had a trade with Square (SQ), which ended about 2 hours after I go in, and I sold a Call on RH which went to expiration. Let’s take a look.
Square
On Tuesday, 5/29/18 I sold a 5 contract Call against my 500 shares of SQ. This was a “Sell to Open.” A few hours later, with the stock moving down, I did a “But to Close.” I sent out an email about this trade. Please take a look at that post and send me an email if you have any questions. I ended up profiting $225 on this quick trade.
5/29/18 – Sell to Open 5 SQ 6/1/18 $58.00 C @ 90¢ (+$450)
5/29/18 – Buy to Close 5 SQ 6/1/18 $58.00 C @ 45¢ (-$225)
Profit +$225
RH
Also on Tuesday I sold a 5 contract Call on RH. I received a nice premium of $1000. The stock never went above my Strike Price so I was not assigned and the Call expired.
5/29/18 – Sell to Open 5 RH 6/1/18 $105.00 C @ $2.00 (+$1000)
6/1/18 – Expired 5 RH 6/1/18 $105.00 C
Profit +$1000
For a very simply week I was able to stuff $1225 into my mattress. I still own 300 shares of Netflix in my trading account but I decided to not sell a Call on these shares because the stock is moving so well. I’m just going with the stock gain. 100 of the 300 shares are for my “Gift Account” but they’re still being held in my “Trading Account.”
Total Weekly Gain +$1225
Steve
The Options Coach