Results Week Ending 12/6/24
This is the best week I’ve had since June 21st of this year. I’m back to working hard finding good trades that give the kind of return I desire. Most of the trades are pretty similar except for the 12/4 trade with Palantir. This trade is reminiscent of trades I used to make; it’s a trade where I bought a 10 contract Call. I was in the position for one day for a $2000 profit.
I have a lot of trades so I’ll give a short statement on each.
Palantir
This trade I bought a 1 contract Call and held it for about a week. The Return on Investment (ROI) was 66%.
11/27/24 – Buy to Open 1 PLTR 12/27/24 $65.00 C @ $4.20
12/3/24 – Sell to Close 1 PLTR 12/27/24 $65.00 C @ $7.00
Profit +$280
Palantir
This was another 1 contract Call I bought. This one I held for one day for a ROI of 65%.
12/2/24 – Buy to Open 1 PLTR 12/27/24 $66.00 C @ $4.00
12/3/24 – Sell to Close 1 PLTR 12/27/24 $66.00 C @ $6.50
Profit +$250
Palo Alto
This was the buying of 1 contract with Palo Alto (PANW). ROI was 20%
11/27/24 – Buy to Open 1 PANW 12/27/24 $390.00 C @ $14.95
12/4/24 – Sell to Close 1 PANW 12/27/24 $390.00 C @ $17.95
Profit +$300
Nvidia
I bought a 1 contract Call on Nvidia (NVDA). ROI of 42%
11/25/24 – Buy to Open 1 NVDA 12/27/24 $137.00 C @ $7.00
12/4/24 – Sell to Close 1 NVDA 12/27/24 $137.00 C @ $10.00
Profit +$300
Tesla
Bought a 1 contract Call with Tesla. My ROI was 54%
12/2/24 – Buy to Open 1 TSLA 12/27/24 $355.00 C @ $18.50
12/5/24 – Sell to Close 1 TSLA 12/27/24 $355.00 C @ $28.50
Profit +$1000
Palantir
This trade with Palantir I’m a little embarrassed to admit but I went to buy a 1 contract Call, I hit an extra button and ended up buying 10 contracts lol. I am ready to step up my game but on this one I meant to buy 1 contract. I’m glad I did because I ended up making $2000 in one day instead of $200 lol. I’ll take it but there is a lesson to be learned, and I’m glad I learned it with a winner, but you have to be very careful when placing an order. I noticed it immediately but didn’t change it because I felt good about the trade. And I felt God was with me! My ROI is 40%.
12/4/24 – Buy to Open 10 PLTR 1/17/25 $70.00 C @ $4.95
12/5/24 – Sell to Close 10 PLTR 1/17/25 $70.00 C @ $6.95
Profit +$2000
Ishares Bitcoin EFT
This EFT moves with Bitcoin. The big move in Bitcoin got me involved it this position. I think I’ll be making more trades with this financial instrument as Bitcoin moves. With this one I bought a 1 contract Call. My ROI is 40%.
11/25/24 – Buy to Open 1 IBIT 12/27/24 $54.00 C @ $4.00
12/6/24 – Sell to Close 1 IBIT 12/27/24 $54.00 C @ $5.60
Profit +$160
Albertsons
I bought 400 shares of ACI on Nov 19th and have been selling Calls since. I was able to do this because I was not assigned. This is a 4 contract Covered Call and the ROI is 4.6%.
11/29/24 – Sell to Open 4 ACI 12/6/24 $20.00 C @ 90¢ (+$360)
12/6/24 – Expired 4 ACI 12/6/24 $20.00 C
Profit +$360
Super Micro Computer
Here I bought 400 shares of SMCI to do a Covered Call. The stock moved up a lot and I was assigned. I made $400 on the stock sale and I keep the $680 premium for a total of $1080. The total ROI for the assigned Covered Call is 7.9%.
Covered Call with Assignment
11/29/24 – Buy 400 Shares SMCI @ $34.00
12/6/24 – Assigned 400 Shares SMCI @ $35.00
Profit +$400
11/29/24 – Sell to Open 4 SMCI $12/6/24 $35.00 C @ $1.70 (+$680)
12/6/24 – Expired 4 SMCI $12/6/24 $35.00 C
Profit +$680
Trump Media & Technology Group Corp.
I bought these 200 shares on Nov 11th and sold a Call every week without assignment. This week the Stock moved and I was assigned. This was an In-the-Money Call, meaning my Strike Price was below my buy-in price. I did this for a little bigger premium. I was assigned soI lost 20¢ on the stock, which is $40 on the 200 shares. And I keep the $190 premium for a total gain of $150. The ROI is 2.2%.
Covered Call with Assignment (In-the-Money Call)
11/11/24 – Buy 200 Shares DJT @ $33.20
12/6/24 – Assigned 200 Shares DJT @ $33.00
Loss -$40
11/27/24 – Sell to Open 2 DJT 12/6/24 $33.00 C @ 90¢ (+$190)
12/6/24 – Expired 2 DJT 12/6/24 $33.00 C
Profit +$190
Total Weekly Gain +$5880
For you who have been following Main Street beats Wall Street, you probably see a different pattern of trades. I am buying a lot more Calls than selling Calls. The reason for this is most stocks are moving up. Buying Calls is a great way to benefit from a stock moving up without laying out all the money for the stock. Buying options cost only a fraction of buying the stock. If the market is moving up and down, Time Decay can hurt you fast when buying options. However, if the market is only moving up it’s a great strategy. And your Return on Investment is always higher with Long Options. Just look at some of the ROI percentages above.
If you buy options, be very careful! This market is not going to move up forever. To protect yourself against a pullback make sure when buying options go out at least a few months with your Expiration Date. Also, deal with the best stocks you can afford, if there is a pullback a good stock will always recover, as long as you have enough time on your contract.
Any questions on buying options send me an email.
Successful trading,
Steve
The Options Coach