What a day for Peloton (PTON)! B of A gave the stock a raise in the price target from $150 to $175. This gave the stock a huge boost and the stock ended up $11.38 on the day. As you know I own 4000 shares so my account grew by a large amount.
If you remember, yesterday I sold a $170 Naked Call. With the stock at $167.30 I bought another 1000 shares to cover that Naked Call.
Buy 1000 Shares Peloton @ $167.30
That Naked Call had a Risk Factor of 5, now that I covered the Call it is now a Risk Factor 1. I now own 5000 shares of the stock. Expiring this Friday I have a 20 contract $165 Call and a 10 contract $175 Naked Call. If I have to cover this Call tomorrow I will. I have a lot going with Peloton!
Successful trading,
Steve
The Options Coach