Palantir (PLTR) is going absolutely wild.
On 11/20 I bought 4000 Shares of the stock at $18.47, and on 11/23 I sold a 40 contract $19 Call bringing in a $4000 premium. Today, as I write, the stock is up to $29.60. For sure I’ll be getting assigned on this Call locking in the $4000 premium and making $2120 on the stock sale.
A few minutes ago I bought another 2000 shares at $28.40 and sold the 11/27/20 $29 Call for a $2 premium for another $4000. The market is closed tomorrow and Friday is a half day. This is a fantastic premium!
You never know what happens in the market but I don’t see this trade going sour. If I don’t get assigned on Friday it’s still a very hot stock.
Buy 2000 Shares PLTR @ $28.40
Sell to Open 20 PLTR 11/27/20 0 $29.00 C @ $2.00 (+$4000)
In addition to this premium, if assigned, I’ll make another 60¢ on the 2000 shares for $1200.
This trade gets a Risk Factor 1. It’s a Covered Call on a very hot stock.
Successful trading,
Steve
The Options Coach