Positive news for LLEN

Hilary Kramer of Marketwatch wrote a story and recommended L and L Energy as one of her picks for 2011. This should have a positive tilt to the stock today.

There are 16 trading days until expiration.

Disclosure: The account owns shares and has sold Jan 2011 calls against those shares.

Letter from LL Energy CEO

Hey

The following letter was issued by the CEO of L & L Energy to the shareholders.

Disclosure: Sell The Call currently holds shares and has sold Jan calls against those shares.

$15.00 Feb Call Selling Opportunities

Novagold Resources - Symbol NG, Current Stock Price at $14.40, Current Feb $15.00 Call Bid Price at $0.90

MIPS Technology - Symbol MIPS, Current Stock Price at $14.88, Current Feb $15.00 Call Bid Price at $1.05

Siga Technology - Symbol SIGA, Current Stock Price at $13.99, Current Feb $15.00 Call Bid Price at $1.00

Virnetx - Symbol VHC, Current Stock Price at $14.27, Current Feb $15.00 Call Bid Price at $1.25

Disclosure: Sell The Call has no positions in any of these companies.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Prospective $10 call selling opportunities

MBIA Insurance - Symbol MBI, current stock price $9.50, current Feb $10.00 call bid price $0.70

Exide Tech - Symbol XIDE, current stock price $9.51, current Feb $10.00 call bid price $0.50

Vivus - Symbol VVUS, current stock price $9.60, current Feb $10.00 call bid price $0.86

Financial Bear 3X - Symbol FAZ, current stock price $9.41, current Feb $10.00 call bid price $0.69



- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Born To Sell post

Born To Sell created a post talking about using a covered call calculator.

Quiet Day for LLEN trade (Orange)

LLEN closed the day at $9.44. The Jan 2011 $12.50 call closed the day at $0.10.

The trade has 18 more trading days left. The company might be mentioned on CNBC as David Gentry from Red Chip will be making an appearance on the network.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

What a week.....for LLEN

So Herb Greenberg was able to take LLEN all the way down to $9.45 this week by mentioning it and only it in a warning piece against reverse mergers on CNBC. The Jan 2011 $12.50 call shrunk all the way to $0.15. The fact that it still has any value with 19 trading days left is actually bullish in a way. The stock would have to move up 30% to get to the $12.50 strike price.

It seems with an issue as worrisome as reverse mergers seem to be with Herb, there might be more than just LLEN to be worried about.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Status Color Code updates

The following color codes are to let you know the status of the trade.

Red - This is where the trade is over and it is time to sell at a loss. The stock has fallen to the stop loss.

Orange - This is where the stock is lower than the cost basis of the purchase (stock price minus call revenue received,) but higher than the stop loss price.

Yellow - This is where the stock is above the cost basis of the purchase (stock price minus the call revenue received,) but lower than the strike price of the call.

Green - This is where the stock has surpassed the call strike price.

Week ending Dec 17

The stock price of LLEN fell to $10.75. The Jan 2011 $12.50 call has finished the week at $0.35.

The trade is color code orange. This means that the trade is currently below the cost basis but above the stop loss price.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

LLEN rebound up now in Yellow Status

So LLEN has rebounded today to be up over $1.00 to close at $11.85 . This was a ten percent move on 1.5 X volume today. This stock has been extremely active in the last couple of weeks. The time value on the ask for the Jan 2011 $12.50 call is now $0.80.

Today's trading has brought a status change in the trade from Orange to Yellow. This puts the trade back in a profitable position.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material. - The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES! - If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Down week for Current LLEN trade....

The current LLEN trade is currently Yellow. The stock closed lower to $10.77. The Jan 2011 $12.50 ask fell all the way to $0.45.

Headlines from Yahoo Finance!
- The company released earnings of $0.35 per share, which is a 21% increase year over year.
- Mad Money says to stay away from stock.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Born to Sell Email

Hey

The account received the following monthly email from Born to Sell.

Top 4 Covered Call Stocks For Dec 18 Expiration

With only 2 weeks go to until the December options expire, the race to collect premium is on. Currently, the top 4 stocks Born To Sell members are using for their December covered calls are (in order of popularity): Rank Symbol Strike 1. F 16 2. NFLX 170 3. AMZN 165 4. AAPL 310 (Note: Born To Sell members have access to the full Top 10 Covered Call list, as well as having this list update real-time as members change positions.)

Top 8 Covered Call Watchlist Stocks and ETFs

Want to know what other investors are watching, waiting for the fat premiums to surface so they can jump in and write covered calls? We've got you covered. Currently, the top 8 stocks Born To Sell members are using for their Watchlist are (in order of popularity): Rank Symbol 1. AAPL 2. F 3. MSFT 4. SPY 5. VZ 6. GOOG 7. GLD 8. SLV (Note: Born To Sell members have access to the full Top 20 Watchlist, as well as having this list update real-time as members change their watchlists. And, you can have the highest yielding covered calls from your personal watchlist emailed to you after the close each day. Never miss a fat premium again!)

37,349 December Covered Calls To Choose From

Did you know there are 37,349 different covered call possibilities for the Dec 18, 2010, expiration? That includes all combinations of underlying stock/ETF and strike price. Here's how they break down by moneyness: Moneyness # of CCs Highest Yield ITM > 20% 11666 15% ITM 10%-19% 5031 67% ITM 3%-9% 3918 149% ATM +/- 2% 2788 183% OTM 3-9% 3491 116% OTM 10%-19% 3663 82% OTM > 20% 6792 36%

Moneyness is the relationship between stock price and strike price. For a full explanation, see the Moneyness tutorial. Highest Yield is highest Annualized Return If Flat from each moneyness group. For more info on these calculations, see the Covered Call Returns tutorial.

How can you possibly know which of the 37,349 choices are right for you? Don't worry, using Born To Sell's covered call screener it's easy to narrow the list down based on your personal preferences.

Want More Covered Call Goodness?

Born To Sell is dedicated to only one thing: Making Money With Covered Calls. Our subscribers have access to state-of-the-art covered call screeners and covered call portfolio management tools. For less than the profit of a single trade you could be enjoying recurring monthly income using our tools. Three subscription types to choose from: Term Price Monthly $59.95 Quarterly $149.95 (17% discount) Annual $499.95 (31% discount) Plus, all subscriptions begin with a no-obligation 2-week free trial. What are you waiting for? Start collecting premium today! Don't forget: subscriptions make great holiday gifts for those hard-to-shop-for stock market fans on your list, too! Happy Trading, The Born To Sell Team

New Strategy used for this trade

The account used a strategy for the first time on this recent close of one trade and open of another trade on the same stock.

When tracking the trade last Friday, the account noticed that the Dec $10 call on LLEN had only $0.05 of time value left. The stock at the time was priced at $12.45. When the account noticed that, it researched and found that the Jan 2011 $12.50 call was bid at $1.15.

The account acted in the following manner:

1) The account closed out the Dec $10 call by buying it back.

2) The account sold the Jan 2011 $12.50 call for $1.15.

It moved the cost basis for the trade to $ 11.04 per share. This is calculated by taking $9.79 original purchase plus $2.65 for the Dec call buy back minus $1.40 for the call premium received ($0.40 for the dec call and $1.00 for the January call).

This strategy was implemented because the account saw the high value of the Jan 2011 $12.50 call. It wanted to capitalize on it. It saw that there was a small fraction of time value left on the ask of the Dec $10 call. The account had the cash reserves to close the Dec trade. So the account acted and is now in a good position to continue moving the account value higher using the call selling strategies.

New LLEN trade !!!!

The account found that L & L Energy's stock price is at $12.44. The time value on the January $12.50 call was bid at $1.15.

So the account bought back the Dec $10.00 call it owned (for a 2% profit) and sold the Jan 11 $12.50 call for $1.15.

This brings the cost basis of the LLEN stock to $10.95. This was compiled by taking the stock purchase cost $9.79 per share plus the purchase of the previous call at $2.65 minus the call revenue recieved from the Dec $10 call of $0.40 and the Jan 11 $12.50 call of $1.00. These amounts are after commissions are considered.

LLEN trade ended...in GREEN

The account ended the LLEN trade with a profit of 2% in two weeks time. The account found another trade to increase its value which will be in the next post.

The account continues to be able to increase its ability to be able to capitalize on money making opportunities with the call selling area. This is the first time the account was able to buy back an option before expiration in order to go on to another trade.

LLEN 12 trading days left......Code Green!!!

The stock burst past $11.00 on 3X Volume to close at $11.48! That puts the stock well past the $10.00 strike price.

The call ask time value is currently at $0.27 and is continually getting smaller......awesome.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

LLEN In The Money......Green

LLEN finished the day at $10.57.

The Dec $10 call bid finished at $0.90. The time value for this option's ask fell from $0.70 t0 $0.47, which is below yesterday's bid time value.

There are 13 trading days left.

LLEN trade 3 weeks left...yellow status

There are three weeks left in the L & L Energy trade. The stock closed the week at $9.97. The $10 Dec call option bid closed at $0.60.

The account expects the time value for the call to fall fast this week and next.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

New LLEN trade!!

Today the account purchased shares of L and L Energy at a price of $9.69. The account sold the December $10.00 call for $0.55.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EDMC trade done....6% profit in 5 weeks

The Education Management Corporation trade is over. The stock ended above the $10.00 strike price. So the shares were sold. The trade ended with a 6% profit over 5 weeks time.

The account is now looking for its next trade for either December or January.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Codes for call selling action

Sell The Call account will be giving out color codes for where the trade is located. The colors are as follows:

Red - The stock has fallen to the stop. Sell The Call will close the trade for a loss and move on to the next trade.

Orange- This means that the trade has not produced a profit. The stock is in between the stop and the strike price but has yet to produce a profit. Also, the call time value might not have fallen enough to give the trade a profit. It could also be a combination of the two. This is an area where the account will be looking to either sell another call on the stock at expiration or close the trade for a loss and move on to the next trade.

Green - The trade is now profitable. This means that the call time value has shrunk enough to make the trade profitable, the stock has risen high enough to make the trade profitable, or a combination of the two have made the trade profitable. The account will have the ability to close the trade for a profit before expiration if desired and move on to the next trade.

3 days to end of EDMC trade

Today was a decent move down. But the stock is still $4.00 over the strike price. So the account feels pretty confident about a share assignment and will be looking for a new trade.

Any ideas for stocks in the $7.00 - $12.00 range?

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

MBI

MBIA Insurance is the leading candidate for a December call selling opportunity. The Dec 11 call is being bid at $0.70.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

1 week left in EDMC trade

There is one week left in the EDMC trade. The stock would have to drop $5.00 or 33% in order to get back to the strike price

The stock is at $14.64. It is $4.64 above the strike price. It will probably stay above the strike price.

The call's bid time value is sub zero. The ask time value is at $0.07.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

2 Weeks in EDMC trade

There are two weeks left in the Education Management Corp. trade. They released their previous quarter's earnings.

The stock has moved up to $13.37. The stock will now have to lose $3.37 in the next 10 trading days in order to get down to the strike price.

The November 10 call time value is gone as far as the bid is concerned. There is still $0.40 time value left in the ask.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EDMC up while industry down

Hey

EDMC had a 10+% day today after earnings were released while the rest of the industry got hammered. This was clear with the investigation into Apollo Group. Management abilities might also be the cause for the difference.

The stock also flew past the $12.50 call strike price. That should create some support at the $12.50 level as there are call holders wanting that profit.

The trade is going well. Eleven trading days left!

Earnings release on EDMC

Hey

Education Management Corporation released their quarterly earnings. They earned $0.25/share which was three cents higher than the consensus. Details are below.

The stock has gone up to the $12.75 range.

The call bid value is in the $2.80 range. The time value for the call is almost gone.

Earnings release

Solar research

Hey

So in doing research for the next trade, there are a lot of solar companies in the mix.

EDMC trade 3 weeks left

The trade with Education Management Corporation is going well. The call bid time value has fallen over 50% since the call was sold. The company will be announcing their earnings this week. This should create some volatility in the stock. The account noticed that the November $12.50 call has a value of $1.00. This is a bullish sign as the contract will end in three weeks and this strike price is still out of the money.

The stock closed at $12.00. The stock will have to fall 16% from this price to get below the strike price of $10.00.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Call Selling Site Born to Sell Found

Hey

The account has found Born To Sell, a web site designed around selling calls. It looks like they have a top level software program. It does cost money to subscribe. There is a free trial available. It is strongly recommended that you head to the web site and trying out the free trial.

If you are familiar with the site, post your comments about it here.

Dec/Jan watch list started

Hey

The account has started a watch list for December and January. The companies are below. The account currently has no relationship with any of these companies.

Company Name Symbol

Rare Element Resources REE

H & R Block HRB

Radian Group RDN

Solar Fun Power Holdings SOLF

Power One PWER

EDMC Trade

Last Monday, the account purchased shares of Education Management Corporation and sold $10.00 calls against those shares.

EDMC shares were purchased for $9.96. The stock closed Friday's trading at $11.02.

The account sold the November 10 call. The time value of the bid on the call has shrunk from $0.90 to $0.50.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information (the size of shares bought and calls sold) on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give the size information out. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Call Time Value vanishing

The time value of the EDMC $10.00 call bid that the account sold is now down to $0.74. That is almost a 20% drop in three days of trading. Only 22 trading days remain!

Implied Volatility for EDMC

The Implied volatility for the $10.00 November call is currently at 85. That is a high level of volatility and is one of the reasons why the account chose this stock to make the trade.

EDMC being Investigated

Bloomberg is reporting that the Florida AG is starting an investigation (story below) into the dealings of the for profit colleges and institutions including Education Management Corporation. The stock opened the day flat.

Florida AG Investigation

EDMC trade now In The Money

The current trade in Education Management Corp. is now in the money. The stock closed today at $10.14 today.

The call value is still at $1.00. There are 31 days and 23 trading days left until expiration.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

New Trade

The account has purchased shares of Education Management Corporation, symbol EDMC. The price paid for the shares was $9.95 before commissions.

The account also sold the Nov 2010 call for a price of $0.90 before commissions. The expiration date of the option is November 19, 2010.

More details will follow.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Exas trade closed out (PROFIT)

Success!!!!

The account's exas trade was settled yesterday at the close of trading. The option expired and the stock was sold. The stock closed above the $5.oo strike price.

The account had an average cost after commissions (both buy and sell) of $4.58. The shares were sold for $5.00. There was a stock price appreciation profit of $0.42 per share. That is a 9.17% profit over a course of seven months. The call revenue generated another $0.58 per share. That is a 12.66% profit on its own over the seven months. The total profit amount of $1.00 per share profit after commissions represents a profit margin of 21.83% over a 7 month time frame.

Thanks to Optionsxpress and Yahoo! Finance for the tools to analyze and execute this trade.

Time to find the next trade!

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Nov/Dec trade opportunities

In research this weekend, the account found these companies for a possible trade. The account will probably will be able to make its next trade next week. All of these companies had call values and price appreciation levels that allows a trade to have a 10+ percentage gain.

Do you know of any similar stocks that would be good for a call sell?



MGIC Investment Corp - symbol MTG

Take Two - Symbol TTWO

Hertz - Symbol HTZ

JA Solar - JASO

Fuqi International - Symbol FUQI

A123 - Symbol AONE

Sequenom - Symbol SQNM

Delcath Systems - Symbol DCTH

Suntech Power - Symbol STP

One week left on exas trade

There is one more week until the current exas trade ends.
The stock did move higher. It closed the week at $8.28. The call time value is still zero. The call bid price is currently $3.25. There were a couple of news stories from Yahoo! Finance below.

Motley Fool - Insider Buys propel stocks

Business Wire - Announcement of Earnings and Validation results

6 trading days left, stock at next level

The stock is currently at $7.50. This is important because there are traders that will probably keep exas stock at or around this level since there is an option strike price at $7.50. That raises the possibility that the $5.00 call will end the October options cycle in the money.

2 Weeks left on EXAS

There are 2 weeks left on the trade.

The stock finished the week priced at $7.09. It reached an all-time high on Thursday of $7.40.

The call is still priced at the stock price minus the strike price with no time value left.

The following Exact Sciences news was found on Yahoo! Finance:

Reuters - Blood test

Investopedia - RX companies

TheStreet.com - Calendar

3 Weeks to go on Exas trade

There are three weeks remaining on the current EXAS trade. The stock is currently in the money since the strike price of the calls sold is $5.00. The company will be presenting at the JMP Securities Healthcare Conference this week.

The stock is currently at $6.67. This is at 52 week highs. The volume last week was consistently over the average. There was no coverage news this past week.

The price of the bid on the option is priced at $1.65, which is almost exactly at the current stock price minus the strike price. This means there is no more time value left of the stock.

Because the the call price matches the stock price minus the strike price, it is simply a waiting game to watch simply whether or not the stock will stay above the strike price. The stock would have to lose over 20% of its current value to get below the strike price.

New Capital

More capital has been added to the account. If the EXAS trade ends up being exercised, the next trade will be for a stock in the $7.50 - 10.00 range.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THAT SAID, THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Time Value gone for EXAS

The time value for the bid in the Oct $5.00 call has evaporated to $0.00. There is still 17 trading days left until expiration.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THAT SAID, THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Four weeks on EXAS trade

Hey

The stock broke a 52 week high to end up at $6.22. It seems like there is some strong positive sentiment as volume was heavy. The market is seeming to to set a price before the validation results are in. The stock will now have to lose 20% of Friday's closing value in order to close below the call strike price of $5.00.

The call bid has risen to $1.40. The time value of the call has shrunk to $0.15.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THAT SAID, THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Nine and Ten Dollar Call Sell plays

Here is a list of possible trades that cover stocks priced from $9.00 to $10.50. Wikicallselling shows its interest (if any) in each security at the end of each stock's analysis. The account uses Optionsxpress and Yahoo! Finance tools to find its information.

Company Symbol Stock Price Option Call bid price WCS Interest
1) Gibraltar ROCK $9.03 Nov 10 Call $0.50 No interest

2) Tivo TIVO $9.17 Nov 10 Call $0.78 No interest

3) Ironwood Pharmaceuticals IRWD $9.75 Nov 10 Call $1.50 No interest

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THAT SAID, THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS Explodes to the upside!!!!

Exas just broke out to the upside! It broke past the $5.00 resistance and ended the week at $5.55 with volume strong at over 3 million shares traded.

The call option also gained but not as much as the stock. It ended up bid at $ 0.85. This shows a continued burn in the time value of the option as last week it was $0.60 and this week it is $0.25.

The following reports in the news were made regarding Exact Sciences. They include a coverage initiation.

Jeffries Initial Coverage

Nasdaq Story

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. THAT SAID, THE ACCOUNT WILL NOT MISLEAD READERS TO CREATE A GAIN ON ITS TRADES!

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS trade has crossed into the money

Today EXAS has traded above $5.00 making the call option in the money. It closed the day at $5.04. The volume was over double the average for a total volume today of 744,000.

The call bid rose up to $0.60. But it is telling that the rise in the stock was 3 times the amount of the rise of the option. This is forecasting the beginning of the fall of time value at an increasing rate as time remaining on the option decreases. Theta is starting to shrink. This regularly happens with 6weeks or less left in an option.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains that occur from trades using its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Six weeks to Exp for EXAS trade

The EXAS trade continues to move forward in a positive manner. With six weeks left until expiration, the time value of the option (right now 100%) should start to decrease in an accelerating manner. The big news of the results for Exact Science's colon cancer test are not scheduled to be out until after the options expire which is positive.

The price of the stock moved up to $4.83 on some good volume this week.

The option has also moved up a little to bid at $0.55.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Possible trades for the Oct 10 Call range

Here is a list of possible trades that cover the $10.00 call range. Wikicallselling shows its interest (if any) in each security at the end of each stock's analysis. The account uses Optionsxpress and Yahoo! Finance tools to find its information.

Company Symbol Stock Price Option Call bid price WCS Interest
1) US Airways LCC $9.54 Oct 10 Call $0.60 No interest

2) Questcor QCOR $9.90 Oct 10 Call $1.10 No interest

3) Avis CAR $9.75 Oct 10 Call $0.60 No interest

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

follow also on twitter

Hey

If you on Twitter, you can follow the account at Sellthecall.

7 weeks for current EXAS Trade

There are seven weeks remaining on the current EXAS trade.

The price of the stock has risen to $4.51. That is an $0.11 profit before commissions and fees.

The bid price of the October $5.00 call is currently $0.40. That is a $0.03 profit before commissions and fees.

There was no news this week for Exact Sciences. There was some higher than average trading a couple of days this week pushing the price higher.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Shares purchased...call sold...revenue generated

EXAS' stock price fell early Friday morning to fill the account's order for more shares. The account purchased the shares for a price of $4.04. This will drop the average share price from $4.77 to $4.41.

The account sold another October $5.00 call for $40.00 before commissions and fees. This process was done by using Optionsxpress' mobile phone app.

The account has received enough call revenue to bring the cost of the purchased shares to be brought down to $3.83.

New Capital added

New Capital has been added to the account. This capital will allow the account to incrementally increase its order for the next batch of shares.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

order for new shares of EXAS

The account put in an order to buy new shares of EXAS. The stock will have to come down about 9% before the order is filled. The order could get changed as there will be new capital added to the account next week.

The October 5 call is still bid at $0.50.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS in NY Times...stock moving

The New York Times wrote an article on Exact Sciences on the 8th. It seems to have attracted some attention to the stock because the stock has moved into the $4.50 range.

The account was close to being able to buy another batch of shares. This move up has delayed that purchase for at least another couple of weeks.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Future purchase of shares of EXAS

EXAS is currently priced at $4.20 per share. The account should be able to buy another batch of shares in the next couple of weeks if the shares stay at this price or go lower.

The stock has moved almost a dollar in the last couple of weeks. The account thought it would have already be able to buy the shares and has tested the discipline of the account. But the account knows that the plan will work correctly only when it is done properly. This issue is mentioned in a wikiwealth blog post.

The price of the $5.00 October call is still at $0.45, which is also where the account sold calls against the already owned batch of shares.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Capital Added

More capital has been added to the account. If EXAS stays at the price it is at, the account will be able to buy more shares in the next month.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Sold Oct 10 $5.00 call on EXAS

Today the account sold the Oct 10 $5.00 call. The revenue generated has both lowered the cost of the shares and brought the account closer to purchasing another group of shares of EXAS.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

News on EXAS

There is some news for Exact Sciences:

- They will be releasing their earnings on the 28th.

- Adam Feuersteinfrom the Street.com wrote this blog post about Exact.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS trade

The account will keep its shares of Exact Sciences. The plan is to purchase more shares in the next month and be able to sell more calls against the stock.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Expiration day

The July option for Exas has expired and the account still owns the shares. The account took in $60.00 in revenue for selling the call. The account will be looking at future options to sell. The account has also added capital. If the stock stays at its current level, the account will be able to add more shares and sell another call within the next month.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

current EXAS trade

Hey everyone

EXAS is currently trading at $4.00. There is only one week left before the July option expires. The account is planning to see the option expire. The account will be looking at other $5.00 options to sell. The question the account is pondering is how long it wants to hold the stock in order to make The company has mentioned that there will be product testing results released sometime within the next six months.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material. - The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade. - If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS update

So the current trade is doing well. The price of the stock has gone up with better than average volume in recent days. This seems to be primarily due to the fact that it was added to the Russell 3000 Index. No other news has been released.

The technicals (MACD, RSI, DMI) have turned bullish.

With a little over four weeks to go before the option expires, the stock would have to move about 8% or more from its current level in order for the shares to be called away.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS is added to Russell 3000

On Friday June 11, 2010, Exact Sciences was added to the Russell 3000 Index. Here is the story. This should give the stock some extra buyers and a little more exposure before the validation results are released.

Michael Thomsett

Hey

If you are looking to be more educated on the subject of options, I would suggest reading material from Michael Thomsett. He has written more than a few books on options that anyone from beginners (Getting Started in Options) to experts (Options Trading for the Conservative Investor) can use. You can find all his books at his personal publisher's website.

Are you familiar with any options material worth reading? If so, post a comment on the blog and share.

Happy Call Selling!

some analysis

So it looks like there was a bit too much greed when the account bought back the original call sold for EXAS. Even though the trade is doing well, it looks like the account gave up $0.50 on the call which will add up to 45% less revenue for the trade.

This is being written as a warning for future greed in the account to be dampened. Let the trade work itself out and do not risk guaranteed profits for only possible future gains.

It is simply a lesson the account has to learn as it continues to grow.

Cheers!

New Capital

More capital has been added to the call selling account. This should allow the account to increase the variety of trades available after the current one ends.

Six weeks to go on EXAS trade

EXAS has basically stalled in the last week or so around $4.20. All the technical indicators are at a neutral level. There are six weeks left in this current trade. The option is currently showing a last trade of $0.34, which is still pretty good seeing as the stock will have to rally almost 30% in the next six weeks for that trade to be profitable.

So right now the plan is to let the trade continue through to expiration.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

Resold July 5 option on EXAS

The account has just resold the July 5 call. The account did this because of the inaction of the stock after the earnings and conventions makes the account think that the stock will be stagnant past the July options expiration date. It also adds a little more downside protection to the trade. Trade stop losses will be adjusted.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS 5/17 Update

The stock is holding around the $4.25 - $4.50 range. The moving averages (20, 50, 100) are converging. Volume has been a little less than the average. The stochastics for the company are all quiet.

Exact Sciences has a couple of presentations this week in Europe. There was no other news with the company.

The account will continue to hold the stock and keep its stop positions in the same place.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

$10 July call possible trades

The account found the following stocks doing research using Optionsxpress and Yahoo! Finance tools. The account does not have any relationship or trades with any of the following companies. This is to be used for information and is not a recommendation to buy or sell any of these securities.

AXL - American Axle - The stock is currently selling for $9.75. The July 2010 call is being bid at $1.00.

WNC - Wabash National Corporation - The stock is currently selling for $9.71. The July 2010 call is being bid at $0.95.

ISIS - Isis Pharmaceuticals - The stock is currently selling for $9.84. The July 2010 call is being bid at $0.90.

AMD - Advanced Micro Devices - The stock is currently selling for $9.07. The July 2010 call is being bid at $0.87. The appreciation value combined with the call value is quite interesting with AMD.

IMGN - ImmunoGen - The stock is currently selling for $9.12. The July 2010 call is being bid at $0.85.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

This week's EXAS report

So the company released earnings yesterday. Their revenue was higher and they posted a lower loss than the same quarter in the previous year. The link with the full report is above.

The company had two presentations this week. Yesterday's crazy trading did not have an affect on the stock's performance.

The stock is starting to form a downward trend and putting pressure on the $4.00 support line. This is also where the 100 day moving average is located. It would be a bad omen if the stock crossed the 100 day ma. Volume has been fairly stable.

So right now the account will continue to keep the stock and will monitor its performance.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS update

The stock has moved up in price to the $4.50 range. Right now the account only owns the stock. The opinion is that the stock sold off too much in the last week. It was able to capitalize by buying back the option at a profit.

There will be three conferences and an earnings announcement in the next two weeks which provides for a nice marketing opportunity for the company and the stock to move up.

The July option moved back up into the $0.50 - $0.75 range. The option will probably move at a 50% level to the stock at this point since there is no time value attached to the option.

The account feels bullish on the stock and will continue to monitor the trade.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS trade changed

The account noticed that the call associated in the trade had dropped all the way down to $0.45. So the account bought back the call. So the account sold the contract for $1.10 after commissions and bought it back for $0.60 after commissions.

The stock is currently trading around $4.30. The stock hit the 100 day ma earlier and rebounded up to hit the 50 day ma on decent volume.

The account feels that with earnings coming up in the next couple of weeks, the stock has an opportunity to rise and the account can capitalize. Stop limits have been adjusted to reflect the sale of the call.

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.

EXAS trade 25% done

There are a little under 13 weeks left on this trade.

The stock has lost about 45 cents due to the company successfully selling 3.5 million more shares into the market at a price of $4.5o. Please see the previous post about that. The stock is still over its moving averages.

Earnings has normally been been issued in the second month of the quarter. It has been announced that the company will release its earnings for the last quarter in the first week of May.

The option has dropped in value to a $0.50 bid to $0.60 ask. The option's value has dropped by more than half.

The account put in a buy order with Optionsxpress to cover the call and lock in a profit of over 50% of the call value in just 25% of the time involved. The order price is currently below the bid so the option has to come down a little before the order is executed. The account will have to adjust the stop loss amount to reflect the overall decrease in revenue if the trade is executed.

Are you trading any covered calls?

- This information is not to be used as a recommendation to buy or sell. It is simply information and opinions given to the reader. Before investing, please consult a financial professional. This blog takes no responsibility for any losses or gains occurred from trades that use its material.

- The account does not fully divulge all information on open trades. This is for protection of the trade. When the trade on a particular stock ends, the account will give out the rest of the details. Please feel free to ask questions and the account will answer them the best way possible can without endangering the trade.

- If you have any info regarding call selling, be sure to comment or send an email. The goal of the blog is to collaborate so that we all can accumulate wealth with the help of selling calls. Please pass the blog address to others that might find some value from it.