Last week I had a low projection for getting money in my mattress but on Thursday and Friday I made a few moves that made it a very nice week. I locked in $6150. This week my projection was similar but this week I didn’t make a trade to get money in my mattress until we only had 2 minutes left in the trading week. This week’s profit involves Micron (MU). On 10/20/16 I sold a 50 contract Covered Call on MU against previously owned stock. This was a 3 week Call that came with a $.22 ($1100) premium. At the close on Friday with the premium down to $.10 I decided to cash-in and lock in some profit instead of holding the position another week. I locked in $600 and freed up the shares just in case I want to sell them this week. Below is the “Sell to Open” order and the “Buy to Close” order locking in the $600.
10/20/16 – Sell to Open 50 MU 11/4/16 $18 C @ $.22 (+$1100)
10/28/16 – Buy to Close 50 MU 11/4/16 $18 C @ $.10 (-$500)
Profit +$600
The last few weeks my projections for profit have been low and will continue to be low for a few more weeks. I’m in some large positions which are eating up my margin power and preventing me from making moves. I am OK with where I am and feel I’ll be back on track to pulling in some nice weekly money very soon. The election scares me a little and I’m holding stock announcing earnings this week so it could get interesting. This week U.S. Steel, Yelp and Gopro announces earnings.
Total Weekly Profit +$600
Have a great weekend!
Steve
The Options Coach