This weekend is Father’s Day. I was working in the yard all day but before I started I placed 2 trades. I just came into the house and noticed I was filled on both trades.
The first is a 3 contract Put with Hood. I sold 3 HOOD 6/20/25 $69.00 Puts for a premium of 65¢ for a total of $195. This trades gets a Risk Factor 1. I give this trade a RF 1 because I really wouldn’t mind owning the stock. It’s been moving very well but it might be ready for a pullback.
Sell to Open 3 HOOD 6/20/25 $69.00 P @ 65¢ (+$195)
My next trade is a 4 contract Call I sold on Applied Digital (APLD). I have a 4 contract Put on this stock with the Strike Price of $13 expiring tomorrow. If I get assigned on that Put the shares will cover the Call I sold today. If I don’t get assigned I’ll have a Naked Call but the stock will be below $13. On Monday I will decide if I want to buy the shares or stay Naked. I might even sell another Put expiring next Friday. I will write about what I decided to do on Monday.
Sell to Open 4 APLD 6/20/25 $13.00 C @ 50¢ (+$200)
This trade gets a RF 3 because at the moment this Call is Naked. But I do have a plan so I don’t get burned.
Sorry for the late reporting.
Successful trading,
Steve
The Options Coach