What a morning this is! And yesterday wasn’t much better. The loyal readers have been reading about me trying hard to get more money on the sidelines and out of stock positions. This is why I want , more than ever, to get assigned on my Covered calls. Anyone fully invested right now is feeling some serious pain. And this isn’t even that bad!<\/p>\n
One of the reasons I want money on the sidelines is to be ready for some good deals in a pullback. Well we have a pullback going right now and I have a lot of money on the sidelines.<\/p>\n
Earlier I sold a Put with AMD. I just sold another with Square (SQ). These are very good stocks. If you sell Puts you should love the stock because there is a chance you will get assigned and have the stock put to you. Also, if working on margin the good stock will have a low margin requirement. If you get into stocks like this you will not eat up your margin buying power you worked so hard to build up.<\/p>\n
With SQ at $251 I just sold 5 contracts of the 2\/26\/21 $222.50 Puts for a premium of $3 for $1500.<\/p>\n
Sell to Open 5 SQ 2\/26\/21 $222.50 P @ $3.00 (+$1500)<\/strong><\/p>\n If SQ gets down to $222.50 by this Friday I’ll have 500 shares of the stock put into my account. I really like SQ so this wouldn’t be the worse thing.<\/p>\n I like selling Puts during a pullback because the stock is low and the chances of going lower are less. And if the stock is put to me I get it at a very good price.<\/p>\n This trade gets a Risk Factor 2.<\/p>\n Successful trading,<\/p>\n Steve<\/p>\n The Options Coach<\/em><\/p>\n","protected":false},"excerpt":{"rendered":" What a morning this is! And yesterday wasn’t much better. The loyal readers have been reading about me trying hard to get more money on the sidelines and out of stock positions. This is why I want , more than ever, to get assigned on my Covered calls. Anyone fully invested right now is feeling […]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"class_list":["post-10688","page","type-page","status-publish","hentry"],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/P75MP0-2Mo","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/10688","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10688"}],"version-history":[{"count":1,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/10688\/revisions"}],"predecessor-version":[{"id":10689,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/10688\/revisions\/10689"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10688"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}