I previously owned 500 shares of Micron (MU) and I just sold 5 Calls against them.
List week I sold a 10 contract Call while only owning 500 shares. 5 contracts were Covered and 5 were Naked. I was not assigned so I still own the 500 shares. Today I wanted to sell another Call. The stock is moving big today so I decided to only go with the 5 Covered Calls and not sell any Naked Calls. If the stock continues to move this week I don’t have to worry about buying more shares.
Sell to Open 5 MU 11/8/19 $50.00 C @ 60¢ (+$300)
Micron is a very good company and will be a part of the big 5G boom. I’ll be talking about some 5G companies I’m following. I think there’ll be a lot of money to be made in 2020. I think there’s still some time before the stock start moving big but I’ll be going in & out of the stocks I like, stacking up some premiums.
Today’s trade is a Covered Call on one of these stocks, so it gets a Risk Factor 1.
Keep an eye on Marvel (MRVL)! Up 5% today.
Successful trading,
Steve
The Options Coach