I had an order in most of the day and I was filled right at the close.
I bought 100 shares of Netflix (NFLX) at $381.60 and I put in an order to sell 1 contract of the 3/6/20 $385.00 Call. Going into the close the market shot up about another 300 points and the DOW closed at 1173. While it was making this pop I was filled on my Call.
Buy 100 Shares NFLX @ $381.60
Sell to Open 1 NFLX 3/6/20 $385.00 C @ $5.50 (+$550)
Since I was filled at the close this is a 2 day trade. I received a $5.50 premium on a $381.60 stock. Thats a 1.4% return for a 2 day investment. If I get assigned I’ll make another $340 on the stock sale.
This is a Covered Call on a great stock so the trade gets a Risk Factor 1.
Let’s see what tomorrow brings with this wild market!
Successful Trading,
Steve
The Options Coach