On 9/5/18 I bought 100 shares of RH. I only bought 100 shares because I was fully invested in other positions, but I wasted to be in the game with RH so I entered that small position.This trade is a Grasshopper trade and would be great for beginners.
I bought the 100 shares at $138.86. After I bought, the stock went down a little and I didn’t get a Call sold. The stock has been coming back and today it’s up a few dollars. With the stock at $139.90 I sold a 1 contract Call expiring this Friday. I received a $3 premium for $300. This is a 2.1% return. This is a great trade for a beginner to bring in a nice return with little money invested. This trades a Risk Factor 1.
Sell to Open 1 RH 9/21/18 $140.00 Call @ $3.00 (+$300)
Steve
The Options Coach