Hi Readers! Yesterday, Saturday, was the official starting day of high school basketball here in NYC. I will have practice with my team every day from now on. Our first game is the day after Thanksgiving and the season runs until the end of February. I’ll be putting a lot of time in the gym, wish me luck!<\/p>\n
This week I made a few simple trades but it was another very nice week of stuffing my mattress. I’ll give you a short explanation of my trades which involved Micron, Weight Watchers and RH. These few trades led to a weekly gain of $3850.<\/p>\n
Micron<\/strong><\/span><\/p>\n I’ve been in and out of Micron (MU) many times for a while now. Either I had a nice gain on the stock and sold to lock in some profit or I sold calls and was assigned. With this week’s trade I bought 1000 shares of MU on 10\/17\/17 at $41.15 and on 10\/30\/17 I sold my latest Call. This was a 10 contract 11\/3\/17 $42 Call for a premium of 50\u00a2 for a total premium of $500. The day after I sold the Call the stock went up $2. The stock closed on Friday at $43.71. I had a little Opportunity Lost<\/span><\/a> of $1.71 but when trading options, my attitude is if I didn’t lose money I’m a winner. In my opinion, if you’re going to worry about the Opportunity Lost you should not be trading options. Only trade stocks! That doesn’t mean you shouldn’t put much thought into picking your Strike Price, it means after selling a Call sometimes the stocks moves. Don’t go crazy!<\/p>\n At the close on Friday this trade came to a conclusion. I was assigned on my stock at $42 with an 85\u00a2 profit for $850 and I keep the premium from the option sale, which was $500. If I didn’t sell the Call I would have made more money on the stock but that’s the trade off for locking in the premium.<\/p>\n 10\/17\/17 \u2013 Buy 1000 Shares MU @ $41.15<\/p>\n 11\/3\/17 \u2013 Assigned 1000 Shares MU @ $42.00<\/p>\n Profit +$850<\/strong><\/span><\/p>\n 10\/30\/17 \u2013 Sell to Open 10 MU 11\/3\/17 $42.00 C @ 50\u00a2 (+$500)<\/p>\n 11\/3\/17 \u2013 Expired 10 MU 11\/3\/17 $42.00 C<\/p>\n Profit +$500<\/strong><\/span><\/p>\n <\/p>\n Weight Watchers<\/strong><\/span><\/p>\n On 10\/23\/17 I did a Buy-Write with Weight Watchers (WTW). I bought 1000 shares at $45.50 and sold an At-the-Money $45.50 Call. The stock closed on expiration day (10\/25) below my Strike Price. I ended up keeping my stock and keeping a $550 premium with the option expiring. On 10\/31\/17 I sold another Call with the same Strike Price and received a premium of $500. After being above my Strike Price for most of the week, the stock closed at $44.68. Again I keep my stock and the premium.<\/p>\n 10\/31\/17 \u2013 Sell to Open 10 WTW 11\/3\/17 $45.50 C @ 50\u00a2 (+$500)<\/p>\n 11\/3\/17 \u2013 Expired 10 WTW 11\/3\/17 $45.50 C<\/p>\n Profit +$500<\/strong><\/span><\/p>\n I’m a little worried about this stock position. Monday, after the close, WTW will announces their earnings report. I thought I’d be long out of this position as a result of my Buy-Write I did on 10\/23\/17. I’m not comfortable being in positions when earnings are announced but that’s the way it worked out. I’ll watch the stock closely on Monday and make a decision on what I want to do. If the stock goes up above my buy-in price I might sell. However, the premiums are very high, so since I already own the stock I might sell a Call and hope the stock doesn’t tank. If you look at the last 5 earning announcements the stock did great. Let’s see what happens Monday.<\/p>\n <\/p>\n RH<\/strong><\/span><\/p>\n If you’ve been reading Main Street beats Wall Street<\/strong> and my trades, you know I’ve been killing it with RH. This week was another nice trade. Like Micron I’ve been in and out of RH for a long time. The 1000 shares I own now I got in at $81. This is the second Call I sold on these shares. Again I wasn’t assigned and I brought in a premium of $2000. I hope to sell another Call on Monday. At the moment I have the shares with no Call attached. I’m hoping the stock goes up 5 or 6 dollars before I sell a Call.<\/p>\n 10\/30\/17 \u2013 Sell to Open 10 RH 11\/3\/17 $91 C @ $2.00 (+$2000)<\/p>\n 11\/3\/17 \u2013 Expired 10 RH 11\/3\/17 $91 C<\/p>\n Profit +$2000<\/strong><\/span><\/p>\n <\/p>\n <\/p>\n I would like to welcome a few new readers. Do your studying and be careful. Slow and Steady, Steady and Slow. The tortoise wins the race.<\/p>\nTotal Weekly Gain +$3850<\/h4>\n