I was just filled on a 10 contract Call with Advanced Micro Devices (AMD).
I am holding 2000 shares of AMD. On 10/7/19 I bought 1000 shares at $29.35 and sold a 10 contract $30 Call on 10/11. I also bought 1000 shares back on 9/16/19 for $30.95 per shares. The stock has been down to the point where I couldn’t get a Call sold. Today with the stock up I just sold a $31 Call against these shares. I sold a 10 contract 10/18/19 $31 Call for a premium of 35¢, for $350.
Sell to Open 10 AMD 10/18/19 $31.00 C @ 35¢ (+$350)
A 35¢ premium on a stock I bought for $30.95 is a nice premium. If I get assigned on this Call I’ll also get assigned on my $30 Call. This trade is a Covered Call so it gets a Risk Factor 1.
I also have an order in to sell a 10 contract Call with Square (SQ). I bought 1000 shares on 10/1/19, sold a Call, and was not assigned. Since I still own the shares I’m trying to get another Call sold. I’m going for a 10/18/19 $63 Call for a premium of 75¢. I’ll let you know as soon as I get filled.
Steve
The Options Coach