It looks like the option will expire worthless. There are seven trading days left and the stock is well under the strike price. But it is still a profitable trade if you include the call revenue. If the stock stays below the stop loss level, the account will probably sell more options on this stock after the current ones expire. The account has noticed some considerable time value in the coming month's options that keep the thought of stock appreciation in mind. This is not normally the case. Normally, if a stock falls like this one has, the time value on the stock's options dry up like a desert. But this stock hasn't. The trading activity for the next couple of week's will show where the stock is headed. It is definitely banging against some support levels trying to get through.
- As always, I do not fully divulge information on companies that have trades open. When the trade on a particular stock ends, I will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info) that sort of thing. Please feel free to ask questions and I will answer them the best I can without endangering the trade.