One Week Left On ARNA Trade

There is one week left on the Arena Pharma covered call trade. The status of the trade is Code Yellow. The stock closed the week at $8.22. That is a rise of $0.07 for the week. The April $9.00 call ask price closed the week at $0.06. That is a  decline of $0.07 from last week. The cumulative gain for the week on the trade was $0.14 per share.

There is an April $7.00 protective put option included in the trade.

Previous covered call trades have been made in AA, OCZ, YHOO, ZAGG, LLEN, CLSN, EDMC, EXAS, ARIA

If you are interested in futures options or futures etf options, Sell The Call is now following Trading Futures ETF Options.

** Disclaimer** - Sell The Call is simply posting information. This is not a recommendation to buy or sell any of the securities above. Do your due diligence before investing as there is risk to all investments. Be sure to Like ourFacebook page, and follow Sell The Call's Twitter and Stocktwits pages. 

Two Weeks Left on Arena Pharma April $9.00 Trade

There are two weeks remaining on the Arena Pharma April $9.00 covered call trade. The status of the trade is Code Yellow. The stock closed the week at $8.13. That is a decline of $0.08 from last week. The April $9.00 call ask price closed the week at $0.13. That is a decline of $0.08 for the week.

There is an April $7.00 protective put on the trade.

Previous covered call trades have been made in AA, OCZ, YHOO, ZAGG, LLEN, CLSN, EDMC, EXAS, ARIA

If you are interested in futures options or futures etf options, Sell The Call is now following Trading Futures ETF Options.

** Disclaimer** - Sell The Call is simply posting information. This is not a recommendation to buy or sell any of the securities above. Do your due diligence before investing as there is risk to all investments. Be sure to Like ourFacebook page, and follow Sell The Call's Twitter and Stocktwits pages. 

ARNA Covered Call Trade Ends Code Yellow; April Put Continues

The March Arena Pharma covered call trade has ended. The stock closed the week at $8.03. Sell The Call will go into the options market and sell another call next week. The April $7.00 protective put is being held onto due to the prospective volatility with the Belviq news.

Previous covered call trades have been made in AA, OCZ, YHOO, ZAGG, LLEN, CLSN, EDMC, EXAS, ARIA

If you are interested in futures options or futures etf options, Sell The Call is now following Trading Futures ETF Options.

** Disclaimer** - Sell The Call is simply posting information. This is not a recommendation to buy or sell any of the securities above. Do your due diligence before investing as there is risk to all investments. Be sure to Like ourFacebook page, and follow Sell The Call's Twitter and Stocktwits pages.  

2 Weeks Until ARNA Trade Ends; Status Code Yellow

There are two weeks remaining on the Arena Pharma trade. The status of the trade is Code Yellow. The stock closed the week at $8.34. That is a decline of $0.04 from last week. The March $9.00 call ask price closed the week at $0.19. That is a  of $0.02 from last week.

The April $7.00 protective put is currently priced at $0.28. That is a $0.03 decrease from when the put was purchased.

Arena Pharmaceuticals will be releasing earnings on Monday before the bell.

Previous covered call trades have been made in AA, OCZ, YHOO, ZAGG, LLEN, CLSN, EDMC, EXAS, ARIA

If you are interested in futures options or futures etf options, Sell The Call is now following Trading Futures ETF Options.

** Disclaimer** - Sell The Call is simply posting information. This is not a recommendation to buy or sell any of the securities above. Do your due diligence before investing as there is risk to all investments. Be sure to Like ourFacebook page, and follow Sell The Call's Twitter and Stocktwits pages.  

Protection for Covered Call

One of the risks of trading covered calls is that the stock can go down. A way to provide protection for this event is to go into the options market and purchase at the money puts. That way, if the stock falls a considerable amount, the gain in the put should at least offset the loss in the stock. This trade has three legs; purchasing shares (a negative), sell calls against the stock (a positive), and buy puts to protect from the stock declining (a negative).

There is a very good blog on this type of trading named Power Options. Click on the link below to check it out.

Seeking Alpha - Power Options

Sell The Call does not have a position in any of the above stocks.

** Disclaimer** - Sell The Call is simply posting information. This is not a recommendation to buy or sell any of the securities above. Do your due diligence before investing as there is risk to all investments. Be sure to Like ourFacebook page, and follow Sell The Call's Twitter and Stocktwits pages.