{"id":7235,"date":"2020-02-18T15:27:42","date_gmt":"2020-02-18T20:27:42","guid":{"rendered":"http:\/\/www.mainstbeatswallst.com\/?p=7235"},"modified":"2021-01-02T22:43:10","modified_gmt":"2021-01-03T03:43:10","slug":"nvidia-covered-call","status":"publish","type":"post","link":"https:\/\/www.mainstbeatswallst.com\/?p=7235","title":{"rendered":"Nvidia Covered Call"},"content":{"rendered":"<p>I few minutes I was filled on 2 trades. I bought 300 shares of Nvidia (NVDA) at $293 and I sold a 3 contract $295 Call to expire this Friday.<\/p>\n<p>I had a lot of money available because my account has been growing, plus I was assigned on 1000 of Micron this past Friday. I decided to look for 1 good deal with a high priced stock instead of looking for a few smaller deals. I looked at Microsoft, Facebook, PayPal etc. But I really liked what I saw with NVDA. The first thing I liked is they just came out with earnings this past Thursday, which were good and the stock jumped about $15. Besides that I loved their premiums compared to the other high priced stocks.<\/p>\n<p><a href=\"https:\/\/i2.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png\"><img loading=\"lazy\" decoding=\"async\" data-attachment-id=\"1635\" data-permalink=\"https:\/\/www.mainstbeatswallst.com\/?attachment_id=1635\" data-orig-file=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png?fit=75%2C90&amp;ssl=1\" data-orig-size=\"75,90\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"Risk1\" data-image-description=\"\" data-image-caption=\"\" data-medium-file=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png?fit=75%2C90&amp;ssl=1\" data-large-file=\"https:\/\/i0.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png?fit=75%2C90&amp;ssl=1\" class=\"size-full wp-image-1635 alignleft\" src=\"https:\/\/i2.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png?resize=75%2C90\" alt=\"\" width=\"75\" height=\"90\" data-attachment-id=\"1635\" data-permalink=\"http:\/\/www.mainstbeatswallst.com\/?attachment_id=1635\" data-orig-file=\"https:\/\/i2.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png?fit=75%2C90\" data-orig-size=\"75,90\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;}\" data-image-title=\"Risk1\" data-image-description=\"\" data-medium-file=\"https:\/\/i2.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png?fit=75%2C90\" data-large-file=\"https:\/\/i2.wp.com\/www.mainstbeatswallst.com\/wp-content\/uploads\/2016\/05\/Risk1-1.png?fit=75%2C90\" \/><\/a>With the market down today NVDA was up. When I started looking at the stock today it was at $290, up about $1. The market was not moving well so I watched a little while. I finally pulled the trigger when the stock was at $293. The stock was moving up slowly but it was moving up! With the $295 Premium at $3.20 I had to make a few phone calls and be away from my computer. I placed the order to sell 3 NVDA 2\/21\/20 $295 Calls for the premium of $3.50. I know that\u2019s a little distance from $3.20 but I figured, what the hell, I might be away from the computer for a while, the stock might go up. I was away for about 25 minutes and I was filled at $3.50. Not only that but the stock was up to $296 and the premium was now at $3.75. O well! I could have made more but I\u2019m happy. With a high priced stock, and the coronavirus still out of control, I want to get assigned. I want to make money and get out.<\/p>\n<p style=\"text-align: center;\"><strong>Buy 300 Shares NVDA @ $293<\/strong><\/p>\n<p style=\"text-align: center;\"><strong>\u00a0Sell to Open 3 NVDA 2\/21\/20 $295.00 C @ $3.50 (+$1050)<\/strong><\/p>\n<p>I think this is a great deal. I got a premium of $3.50 which is a 1.2% return with a $1050 premium in 4 days. And if I get assigned I\u2019ll make $600 on the stock sale. I love deals like this. With assignment I\u2019ll make $1750. So yes, NVDA is moving up and I might have an <span style=\"color: #0000ff;\"><a style=\"color: #0000ff;\" href=\"http:\/\/www.mainstbeatswallst.com\/?page_id=363\">Opportunity Lost<\/a><\/span>, but I want NVDA to continue up and stay above my Strike Price until Friday. My strategy might not be for everyone, but last year I was up 101% and I want to stick to my game plan. In the market, especially this market with the virus, there\u2019s no room for greed!<\/p>\n<p>Successful trading,<\/p>\n<p>Steve<\/p>\n<p><em>The Options Coach<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>I few minutes I was filled on 2 trades. I bought 300 shares of Nvidia (NVDA) at $293 and I sold a 3 contract $295 Call to expire this Friday. I had a lot of money available because my account has been growing, plus I was assigned on 1000 of Micron this past Friday. I [&hellip;]<\/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-7235","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\/p75MP0-1SH","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/7235","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=7235"}],"version-history":[{"count":2,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/7235\/revisions"}],"predecessor-version":[{"id":9774,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/7235\/revisions\/9774"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=7235"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=7235"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=7235"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}