Today, the account sold a March call for the same stock as the previous trade. This was done because selling this call gave the account its highest value for the revenue.
This is the fifth trade for the account. It is also the second time the account traded more than one time with the same stock.
- Non Professional opinions are given on this blog. Before investing any money into any asset, please consult a financial professional. This blog takes no responsibility for any losses occurred from trades that use its material as a basis for the trade.
- The account does not fully divulge all information on companies that have open trades. This is to protect current trade. When the trade on a particular stock ends, the account will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info, etc.) 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.
Tuesday, January 19, 2010
Thursday, January 14, 2010
China Direct Industry Inc
Hey
In doing research, the account found that China Direct Industry Inc. (symbol CDII)has a high time value for the March 2.50 call. The Account will probably not be making this trade due to its current commitment to another trade. But it is a stock in a position that can be used to create some income for call sellers. Let us know if you agree or disagree.
- The account gives opinions on this website. Before investing any money into any asset, please consult a financial professional. This blog takes no responsibility for any losses occured from trades that use its material as a basis for the trade.
- The account does not fully divulge all information on companies that have open trades. This is to protect current trade. When the trade on a particular stock ends, the account will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info, etc.) 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.
In doing research, the account found that China Direct Industry Inc. (symbol CDII)has a high time value for the March 2.50 call. The Account will probably not be making this trade due to its current commitment to another trade. But it is a stock in a position that can be used to create some income for call sellers. Let us know if you agree or disagree.
- The account gives opinions on this website. Before investing any money into any asset, please consult a financial professional. This blog takes no responsibility for any losses occured from trades that use its material as a basis for the trade.
- The account does not fully divulge all information on companies that have open trades. This is to protect current trade. When the trade on a particular stock ends, the account will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info, etc.) 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.
Friday, January 8, 2010
stock closes within 2 percent
The stock has closed today up to within 2 percent of the strike price. This next week should be interesting.
one week to expiration
Hey
The current trade will expire at the end of next week. The stock is currently above the purchase price but below the stock price.
If the stock closes below the strike price, the account will probably look to selling out of the money calls for February or March for this stock. This action will drive down the cost basis for the stock. The only way that the account would sell the stock and look for a completely new trade is if it found a stock with a call that had a higher time value attached to it than the cumulative time value of the current trade.
If the stock closes above the strike price at the end of next week, the shares will be called away. The account has already started to look at stocks available to trade for the months of February and March.
Right now, the stock would need to move up five percent next week in order for it to reach the strike price. It did make a five percent move this week without any news so it is possible.
- The account does not fully divulge all information on companies that have open trades. This is to protect current trade. When the trade on a particular stock ends, the account will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info, etc.) 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 current trade will expire at the end of next week. The stock is currently above the purchase price but below the stock price.
If the stock closes below the strike price, the account will probably look to selling out of the money calls for February or March for this stock. This action will drive down the cost basis for the stock. The only way that the account would sell the stock and look for a completely new trade is if it found a stock with a call that had a higher time value attached to it than the cumulative time value of the current trade.
If the stock closes above the strike price at the end of next week, the shares will be called away. The account has already started to look at stocks available to trade for the months of February and March.
Right now, the stock would need to move up five percent next week in order for it to reach the strike price. It did make a five percent move this week without any news so it is possible.
- The account does not fully divulge all information on companies that have open trades. This is to protect current trade. When the trade on a particular stock ends, the account will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info, etc.) 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.
Tuesday, January 5, 2010
Option price
Hey
The account has noticed the price for the option has hit the bottom ($0.05) today. The stock price will need a six percent rise to reach the option strike price. There are only eight trading days left before expiration.
- The account does not fully divulge all information on companies that have open trades. This is to protect current trade. When the trade on a particular stock ends, the account will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info, etc.) 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 account has noticed the price for the option has hit the bottom ($0.05) today. The stock price will need a six percent rise to reach the option strike price. There are only eight trading days left before expiration.
- The account does not fully divulge all information on companies that have open trades. This is to protect current trade. When the trade on a particular stock ends, the account will give out the rest of the details (stock name, price purchased, call purchased, news on company/ETF, chart info, etc.) 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.
Sunday, January 3, 2010
2 weeks on Current trade
Hey
There are two weeks remaining on the current trade. The stock is between where the account purchased the shares and the strike price. The option has fallen in value and might go worthless. The stock will need a ten percent rise to get to the strike price. The following month's call at the same price is trading at a high value indicating a bullish action.
- As always, the account does not fully divulge information on companies that have open trades. This is to protect the trade. When the trade on a particular stock ends, the account 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 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.
There are two weeks remaining on the current trade. The stock is between where the account purchased the shares and the strike price. The option has fallen in value and might go worthless. The stock will need a ten percent rise to get to the strike price. The following month's call at the same price is trading at a high value indicating a bullish action.
- As always, the account does not fully divulge information on companies that have open trades. This is to protect the trade. When the trade on a particular stock ends, the account 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 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.
Happy New Year
Hey everyone
First, happy new year! Let's see if we can create some wealth this year. The account will continue to focus on selling calls as a means of profit. There are some positive signals that the account should have a better 2010 than 2009. It is better funded at this point of the year compared to last year. Also, the account has also traded a few times and recognizes the need to adapt and follow rules better. These two items alone should produce positive results for the account.
The account will continue to use Optionsxpress and Yahoo Finance as major sources of information. It will also use sites like Bloomberg, Seeking Alpha, CNBC, and any other sites that provede relative information on the companies/stocks being traded.
Again, happy new year!
First, happy new year! Let's see if we can create some wealth this year. The account will continue to focus on selling calls as a means of profit. There are some positive signals that the account should have a better 2010 than 2009. It is better funded at this point of the year compared to last year. Also, the account has also traded a few times and recognizes the need to adapt and follow rules better. These two items alone should produce positive results for the account.
The account will continue to use Optionsxpress and Yahoo Finance as major sources of information. It will also use sites like Bloomberg, Seeking Alpha, CNBC, and any other sites that provede relative information on the companies/stocks being traded.
Again, happy new year!
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