I just sold my PAGS Calls for a nice profit.<\/p>\n
I\u2019ve been in Pagseguro Digital (PAGS) since 11\/11\/19. I bought 20 contracts of the 1\/15\/21 $35 Call. Yes, this position had a long time to go until expiration but I had a nice profit so I decided to get out and put the money to work elsewhere.<\/p>\n
When I bought the Calls the stock was at $33.15 and today it\u2019s $37, $2 In-the-Money. It\u2019s $2 In-the-Money but I paid $7.26 for the Call. If there\u2019s a pullback it could be down to my Strike Price fast. If that happened the stock would have to go up the $7.26 I paid for the Call before expiration. This is why I like long term options. You have plenty of time to make decisions before Time Decay kills you. Time Decay and Time Value are so important to understand. I might be a little quick with my trigger finger but I made a profit! Now I move on! Please, if you\u2019re gonna buy options, especially short term options, understand 80% expire worthless. This happens because options are cheap and they attract less experienced traders with less money who are looking for a \u201cget rich quick\u201d scheme. Don\u2019t fall into the trap. Do your homework and understand Time Decay and Time Value.<\/p>\n
\u00a011\/11\/19 \u2013 Buy to Open 20 PAGS 1\/15\/21 $35.00 C @ $7.26 ($14,520)<\/strong><\/p>\n 1\/14\/20 \u2013 Sell to Close 20 PAGS 1\/15\/21 $35.00 C @ $8.20 ($16,400)<\/strong><\/p>\nProfit +$1880<\/strong><\/span><\/h4>\n
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