I’ve been idle with Micron (MU). Today I got a Call sold.
On 7/30/19 I bought 1000 shares of MU at $47.15 and sold a 10 contract Call. In the middle of that option contract MU took a dip and I haven’t been able to get a Call sold since. Today MU is up with the up market. With the stock at $46.95 I sold a 10 contract Call to expire next Friday, 9/13. I received a premium of 75¢ for $750. That is a 1.5% return on my investment of $47.15 per share. This trade fits into my “1 Week/1%” strategy.
Sell to Open 10 MU 9/13/19 $48.00 C @ 75¢ (+$750)
As I write MU is still moving up. I might have jumped the gun a little with my Call. The premium on my Call went a little over $1. This happens! I’m happy with my $750, especially with the market volatility. In times like these sometimes you have to pull the trigger and make sure you bring in money when the opportunity presents itself.
I have this option until next Friday. If I get assigned I’ll make $850 on the stock sale and keep the $750 premium. I would like to see the stock continue up above my Strike Price and get assigned.
This trade is a Covered Call on previously owned stock so it gets a Risk Factor 1.
I bought 2000 shares of Snap yesterday. I’m looking to get a Call sold but the stock isn’t moving with the market. Let’s see what happens.
Steve
The Options Coach