Grasshopper Trade with X

I’m about to leave my hotel for the airport and was just filled on a Grasshopper Trade with U.S. Steel (X).

Last Wednesday I bought 100 shares of X at $23.30. I also sold a 1 contract Call to expire on 4/16. I was not assigned so I just sold another Call. I sold 1 X 4/23/21 $23.50 for a premium of 80¢ for a total of $80.

 

4/19/21 – Sell to Open 1 X 4/23/21 $23.50 C @ 80¢ (+$80)

 

This 80¢ premium gives me a Return of 3.4%. If assigned this will be a very nice Grasshopper Trade.

This trade gets a Risk Factor 1.

 

Successful trade,

Steve

The Options Coach

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