{"id":13580,"date":"2023-02-23T10:44:33","date_gmt":"2023-02-23T15:44:33","guid":{"rendered":"http:\/\/www.mainstbeatswallst.com\/?page_id=13580"},"modified":"2023-02-23T10:44:33","modified_gmt":"2023-02-23T15:44:33","slug":"closed-my-mpw-option-bought-more-shares","status":"publish","type":"page","link":"https:\/\/www.mainstbeatswallst.com\/?page_id=13580","title":{"rendered":"Closed my MPW Option\/Bought More Shares"},"content":{"rendered":"<p>On 2\/15\/23 I sold a 10 contract Call against my 1000 shares of Medical Properties Trust (MPW). This Call gave me a premium of 40\u00a2 for a total of $400. Today the stock is down and the premium went down to 9\u00a2. The premium coming down is a result of 2 factors: 1, the stock came down and 2, <span style=\"color: #0000ff;\"><a style=\"color: #0000ff;\" href=\"https:\/\/www.mainstbeatswallst.com\/?page_id=444\">Time Decay<\/a> <\/span>ate away at the premium in my favor. When you sell Calls Time Decay is your friend.<\/p>\n<p>With the premium at 9\u00a2 and still 10 days until expiration, I decided to do a <strong>Buy to Close<\/strong> and close out the position taking a $310 profit. If I held until expiration I would have kept the entire $400 premium but with 10 days remaining I think I&#8217;ll get another Call sold within that time.<\/p>\n<p style=\"text-align: center;\"><strong>2\/15\/23 \u2013 Sell to Open 10 MPW 3\/3\/23 $13.00 C @ 40\u00a2 (+$400)<\/strong><\/p>\n<p style=\"text-align: center;\"><strong>2\/23\/23 \u2013 Buy to Close 10 MPW 3\/3\/23 $13.00 C @ 9\u00a2 (-$90) <\/strong><\/p>\n<h4 style=\"text-align: center;\">\u00a0<span style=\"text-decoration: underline;\"><strong>Profit +$310<\/strong><\/span><\/h4>\n<p>&nbsp;<\/p>\n<p>With the $310 profit I decided to buy more shares of MPW. I started the day with 1030 shares and with the premium I received I bought another 25 shares. I now own 1055 shares. 55 of these I bought with premium money from selling Calls. These are in my non-margin account and I&#8217;ll hold them for the dividend which has the Day Date of 4\/13\/23.<\/p>\n<p>I will continue to accumulate shares with the premiums from selling Calls and shares I get as dividends. I might even buy more shares with cash. I plan on keeping these shares long term. As long as MPW continues to pay the dividend I like.<\/p>\n<p>&nbsp;<\/p>\n<p>Successful trading,<\/p>\n<p>Steve<\/p>\n<p><em>The Options Coach<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>On 2\/15\/23 I sold a 10 contract Call against my 1000 shares of Medical Properties Trust (MPW). This Call gave me a premium of 40\u00a2 for a total of $400. Today the stock is down and the premium went down to 9\u00a2. The premium coming down is a result of 2 factors: 1, the stock [&hellip;]<\/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-13580","page","type-page","status-publish","hentry"],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/P75MP0-3x2","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13580","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=13580"}],"version-history":[{"count":1,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13580\/revisions"}],"predecessor-version":[{"id":13581,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13580\/revisions\/13581"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=13580"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}