This is my first “weekly results” post since August 4th, 2023. Starting in April of 2022 the market started heading south and I never fully returned to my normal trading habits after June of 2022. Some of you long time readers know well the kind of trading I was doing before that. The last 6 months of 2022 were not good for me or the market, however, it recovered nicely now. 2023 was a scaled down trading year for me but the market did well. My other investments like mutual funds and my Roth IRA did very well in 2023; fully recovered for 2022. Here we are in March of 2024 and I feel like I had my first trading week in a long time reminiscent of the good ole days. I made a nice amount of trades, but nowhere near the size trades of a few years ago. I will be moving “Slow and Steady, Steady and Slow.” I guess 2022 made me a little nervous to fully return to my old ways in my old age.<\/p>\n
Let’s take a look at the trades I made this week and their results.<\/p>\n
\u00a0Walmart<\/strong><\/span><\/p>\n Walmart (WMT) did a 3:1 split this week. I employed my stock split strategy and it worked well. However, Walmart is not the type of stock that makes big moves. For this reason I only bought a 2 contract Call option. I bought the position the day before the split and sold it the day of the split. I bought 2 contracts and sold 6 after the split.<\/p>\n <\/p>\n Split Strategy<\/strong><\/p>\n \u00a0Walmart split 3:1 on 2\/26\/24<\/p>\n 2\/22\/24 \u2013 Buy to Open 2 WMT 3\/28\/24 $175 C @ $3.35 ($670) \u00a0<\/strong><\/p>\n 2\/26\/24 \u2013 Sell to Close 6 WMT 3\/28\/24 $58.33 C @ $1.75 ($1050) <\/strong><\/p>\n I bought the position on a Friday and sold it on Monday. Basically it was a 1 day trade. I invested $670 and my profit was $380. A return of 56%.<\/p>\n When I said Walmart is not the kind of stock to make big moves, you will see what I mean when Nvidia splits. Nvidia has not announced a split yet but I believe it will be coming very soon.<\/p>\n Micron<\/strong><\/span><\/p>\n On 1\/24 I bought a 1 contract Call on Micron and sold on 2\/27.<\/p>\n 1\/24\/24 \u2013 Buy to Open 1 MU 6\/21\/24 $87.50 C @ $8.55<\/strong><\/p>\n 2\/27\/24 \u2013 Sell to Open 1 MU 6\/21 24 $87.50 C @ $11.00 <\/strong><\/p>\n After I bought this option Micron stopped moving. It took a month of owning the position before I could grab a profit. This is the reason when buying options you want to buy with an Expiration Date out a few months. If I bought a 2 or 3 week option I would have lost my $855 investment. Since I bought with the June Expiration the stock had a chance to go up and it did. My return on Investment is 28%.<\/p>\n Block<\/strong><\/span><\/p>\n On 2\/26 I bought a 1 contract Call on Block (SQ) and sold 2 days later.<\/p>\n 2\/26\/24 \u2013 Buy to Open 1 SQ 6\/21\/24 $75.00 C @ $8.65\u00a0<\/strong><\/p>\n 2\/28\/24 \u2013 Sell to Close 1 SQ 6\/21\/24 $75.00 C @ $11.00<\/strong><\/p>\n This was a nice 2 day trade for a return of 27%<\/p>\n Micron<\/strong><\/span><\/p>\n I bought 2 options on Micron in January. I mentioned one above. With this one I bought a 1 contract Call on 1\/25 and bought another of the same options on 2\/29 to give me 2 contracts of the 6\/21\/24 $90 Call. I bought them on different dates for an average price of $7.85 but I listed them as both being bought on 1\/25. I sold them both on 3\/1\/24 for $11.00.<\/p>\n 1\/25\/24 \u2013 Buy to Open 2 MU 6\/21\/24 $90.00 C @ $7.85<\/strong><\/p>\n 3\/1\/24 \u2013 Sell to Close 2 MU 6\/21\/24 $90.00 C @ $11.00<\/strong><\/p>\n With this 2 contract Call I profited $630 for a return of 40%.<\/p>\n Micron<\/strong><\/span><\/p>\n I was busy with Micron this week. Here’s another 2 contract Call I bought on Tuesday and sold on Friday.<\/p>\n 2\/27\/24 \u2013 Buy to Open 2 MU 7\/19\/24 $92.50 C @ $9.70<\/strong><\/p>\n 3\/1\/24 \u2013 Sell to Close 2 MU 7\/19\/24 $92.50 C @ $12.00<\/strong><\/p>\n This is another nice return for a 4 day trade. Return on Investment 23%.<\/p>\n Block<\/strong><\/span><\/p>\n Here is one of my old school trades with Block. This is one of my 1 week Covered Calls. I bought 200 shares of Block (SQ) for $75.75 on Monday and waited until Tuesday to sell the Call option. I sold the $77 Call for $1.75 for a $350 premium on the 2 contracts.<\/p>\n 2\/26\/24 \u2013 Buy 200 Shares SQ @ $75.75<\/strong><\/p>\n 3\/1\/24 \u2013 Assigned 200 Shares SQ @ $77.00<\/strong><\/p>\n 2\/27\/24 \u2013 Sell to Open 2 SQ 3\/1\/24 $77.00 C @ $1.75 ($350)<\/strong><\/p>\n 3\/1\/24 \u2013 Expired 2 SQ 3\/1\/24 $77.00 C<\/strong><\/p>\n The stock closed above my $77 Strike Price so I was assigned. I made $250 on the stock sale in addition to the $350 premium for a total gain of $600.<\/p>\n <\/p>\n <\/p>\n It feels good to send out a weekly result and it feels good bringing $2550.<\/p>\nProfit +$380\u00a0<\/strong><\/span><\/h4>\n
\n\u00a0Profit +$245<\/strong><\/span><\/h4>\n
\nProfit +$235<\/strong><\/span><\/h4>\n
\nProfit $630<\/strong><\/span><\/h4>\n
\nProfit +$460<\/strong><\/span><\/h4>\n
\nProfit +$250<\/strong><\/span><\/h4>\n
Profit +$350<\/strong><\/span><\/h4>\n
\nTotal Weekly Gain $2550<\/h2>\n
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