Results Week Ending 7/13/18

I can not complain about this week. Did it go perfectly? No! But I still had a very nice gain. I have 2 trades to report on.

Netflix

I sold a 2 contract $412.50 Covered Call against previously owned shares of Netflix (NFLX) for a $5 premium ($1000). NFLX has been very volatile lately. During the week the stock came down a bit to the point where the premium was at $2.50. At this point I did a “Buy to Close” to get out of the option. I locked in a $500 profit. When I made this move I was hoping the stock would bounce back and I could sell another Call or just hold the stock for a gain. The stock never did get up to the point where I could sell another Call. The week ended and I ended up with a $500 profit instead of a $1000 profit. No Problem! I’m more concerned with holding 300 shares with earnings coming out today after the bell. I have 100 shares in my “Gift Account” and 200 shares in my “Trading Account.”

 

7/6/18 – Sell to Open 2 NFLX 7/13/18 $412.50 C @ $5.00 (+$1000)

7/12/18 -Buy to Close 2 NFLX 7/13/18 $412.50 C @ $2.50 (-$500)

Profit +$500

 

RH

I sold a 5 contract $139 Covered Call against 500 shares of RH I bought on 7/1/18 for a $2 premium ($1000). The stock made a big move on Friday and closed at $142.20. I was assigned at my Strike Price of $139 and had a little Opportunity Lost. Again, no problem! I made a $450 profit on the stock sale, in addition to my $1000 premium. Not bad!

 

7/1/18 – Buy 500 Shares RH @ $138.10

7/13/18 – Assigned 500 Shares RH @ $139.00

 Profit +$450

7/9/18 – Sell to Open 5 RH 7/13/18 $139.00 C @ $2.00 (+$1000)

7/13/18 – Expired 5 RH 7/13/18 $139.00 C

Profit +$1000

 

 

Total Weekly Gain +$1950

 

Steve

The Options Coach

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