{"id":1497,"date":"2016-04-19T13:58:51","date_gmt":"2016-04-19T17:58:51","guid":{"rendered":"http:\/\/www.mainstbeatswallst.com\/?p=1497"},"modified":"2016-04-19T13:58:51","modified_gmt":"2016-04-19T17:58:51","slug":"ak-steel-calls","status":"publish","type":"post","link":"https:\/\/www.mainstbeatswallst.com\/?p=1497","title":{"rendered":"AK Steel Calls"},"content":{"rendered":"

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If you read “Main Street beats Wall Street<\/strong>” or you get my emails you know I have a Naked Call on U.S. Steel (X). Well, AK Steel (AKS) is also a steel company and moves pretty much the same as U.S. Steel. Both stocks have been moving up since February. I have a Naked Call on X because I feel there will be a pull back soon. I feel the same will happen with AKS. I hope I’m right because I just sold 50 Naked Call contracts on AKS. AKS is a much lower stock, selling at $5 a share. I sold the 50 contracts At-the-Money. I sold 50 AKS 4\/22\/16 $5 Calls and got a premium of $.20 for a total of $1000. I hope the stock does pull back and stays below $5 until the close this Friday. If the stock goes up I’ll buy 5000 shares to cover my Call and hope to get assigned because I don’t want to own the stock. I’m in it for a 3 day premium. If I don’t have to buy the stock it will be a “money for nothing and chicks for free” situation. If I have to buy the stock, the investment will be $25,000. With a $1000 premium, that will be a 4% gain in a few days. I give this trade a Risk Factor of 5. As I write, the stock is at $5, which is At-the-Money and it’s a Naked Call. An At-the-Money or In-the-Money Naked Call is a very dangerous trade. I don’t want to buy the stock right now because I think the stock is gonna pull back…..but I might have to! I’ll let you know. Here’s the option order:<\/p>\n

Sell to Open 50 AKS 4\/22\/16 C @ $.20 (+$1000)<\/strong><\/h4>\n

 <\/p>\n

 <\/p>\n

Steve<\/p>\n

The Options Coach<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"

If you read “Main Street beats Wall Street” or you get my emails you know I have a Naked Call on U.S. Steel (X). Well, AK Steel (AKS) is also a steel company and moves pretty much the same as U.S. Steel. Both stocks have been moving up since February. I have a Naked Call […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false},"version":2}},"categories":[1],"tags":[],"class_list":["post-1497","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75MP0-o9","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/1497","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"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=1497"}],"version-history":[{"count":1,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/1497\/revisions"}],"predecessor-version":[{"id":1498,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/1497\/revisions\/1498"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1497"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1497"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1497"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}