I was filled on a trade 1 minute before the close.<\/p>\n
On Wednesday I bought 2000 shares of Palaltir (PLTR) at $28.40 and sold a $29 Call. This Call gave me a $4000 premium and the Call was expiring today. Earlier the stock was up to $33.50 with a clear path to assignment.<\/p>\n
About 2 hours before the close Citron Research sent out a tweet that they were shorting the stock and gave the stock a price target of $20. This caused the stock to tank. It went all the way down to $26.<\/p>\n
Luckily for me it bounced back but not enough for me to get assigned. The stock closed at $27.66. Remember I own 6000 shares. The other 4000 shares will get assigned because the Strike Price is at $19.<\/p>\n
Right at the close, knowing I wasn’t gonna get assigned I sold another Call for next week against these 2000 shares. I sold 20 PLTR 12\/4\/20 $29 Calls for the premium of $2.80. This Call gives me a premium of $5600 toward next week’s income. If I get assigned next Friday, not getting assigned this week will work out well.<\/p>\n
Sell to Open 20 PLTR 11\/4\/20 $29.00 C @ $2.80 (+$5600)<\/strong><\/p>\n This trade is a Covered Call on previously owned stock so it gets a Risk Factor 2<\/strong>. When ever you get a premium like this there is some risk. Especially when you get a bad tweet from Citron Research. It’s crazy how news moves stocks!<\/p>\n Citron Research in an on-line investment newsletter that reports if they think a stock is overvalued and they actually Short stock. They also report companies that are engaged in fraud.<\/p>\n Lets watch how their tweet will affect the stock on Monday morning. I pray it doesn’t drop to the low 20’s.<\/p>\n Also watch for my report on my Tesla trade. The stock ran up on my Naked Call and I had to do a Roll-out.<\/p>\n Successful trading,<\/p>\n Steve<\/p>\n The Options Coach<\/p>\n","protected":false},"excerpt":{"rendered":" I was filled on a trade 1 minute before the close. On Wednesday I bought 2000 shares of Palaltir (PLTR) at $28.40 and sold a $29 Call. This Call gave me a $4000 premium and the Call was expiring today. Earlier the stock was up to $33.50 with a clear path to assignment. About 2 […]<\/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-9412","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\/p75MP0-2rO","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/9412","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=9412"}],"version-history":[{"count":1,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/9412\/revisions"}],"predecessor-version":[{"id":9416,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/posts\/9412\/revisions\/9416"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=9412"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=9412"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=9412"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}