A few minutes ago I sold my U.S. Steel (X) LEAPS.
First I’d like to welcome our new readers. We had a few people join us this week. Welcome aboard! Make sure you read all the pages of Main Street beats Wall Street and all your other reading material, and let me know if you have any questions.
Most of our readers know I’m into Rate of Return and not so much the amount of the return. I want to know what I made as a profit on my investment.
Back on 11/11/19 I liked the candlestick chart on U.S.Steel. If you remember I sent out a snap shot of the candlestick pattern which was a “W” pattern and I felt the stock was gonna go up. And the fact is I still think the stock’s going up from here. But as I was looking at my account today, and looking at my Year To Date (YTD) results, I decided to try to get out of some of my positions in preparation for the new year. This might not have been the most prudent move but I did it anyway. Sometimes you just want to try to clean house and start again. I have a lot of positions and I want to dump some. Some times you do things in this game that make no sense to someone else but it make perfect sense to you. Well this might be one of these times. This was a LEAPS position and the Expiration Date isn’t until Jan 2021. Honestly, the stock is up today but I really don’t like the way it’s been moving since I got in the position.
11/11/19 – Buy to Open 10 X 1/15/21 $13.00 C @ $3.30 ($3300)
12/6/19 – Sell to Close 10 X 1/15/21/ $13.00 C @ $3.50 ($3500)
Profit +$200
This is not the largest dollar amount of profit but I’m happy with the Rate of Return on my investment. The profit was a 6% return for a 1 month investment. The funny thing is as I write the stock is moving higher lol. No Problem! Year to date I’m up 94% and I’m getting ready for the new year.
I have 2 position expiring at the close. 1 Square (SQ) Naked Call, and a Covered Call with Jabil (JBL). Right now it doesn’t look like I’l be getting assigned on JBL. If I don’t I’ll be selling another Call at the close to expire next Friday on my 1000 shares.
Successful trading,
Steve
The Options Coach