I Do
I Don't
I WIN. GAME OVER. CHECK MATE. I CONTROL YOUR EVERY MOVE. WATCH WHAT HAPPENS NEXT
Yep, I'm a buyer of AAPL with both hands at under $110/share. The flaw in my short put strategy is if/when the stock doesn't get put to me and AAPL flys up to $125 from here. If that happens you'll be sitting on a $2000 gain on 200 shares while I'll be holding only $414 cash on the same number of shares. Still a gain is a gain, and I like to get the best price I can so I'll patiently wait (ok, maybe a little impatiently) for $111 and hope to get put the stock.
Edit: update on my NFLX earnings call trade: If you recall, when the stock was trading at $114 the day before earnings I sold that week's $100 put for $2.35. They missed expectations and the stock got crushed - trading as low as the mid $90's the next day. The following day (Friday - op-ex) the stock traded up a bit but I still got put the stock...so now I own it @ $97.65 cb - net the premium. The following Monday I sold the $100 Nov20 covered call for $5 AND at the same time I sold the Oct 30 (this Friday) $93.50 put for $2.09 - figuring the stock can't be both up AND down but it could because of the different op-ex dates - still it's a slim chance and if it did go down to $93.50 and I got put THOSE shares and then back up to $100 by Nov20 I'd be pretty happy about it....so that's where I stand. NFLX is up almost $3 today at $102.91 as we speak. So unless the bottom falls out, chances are good my $93.50 puts will expire worthless Friday and I'll rewrite them for Nov20 in the $96 range.
Last edited by user34615145; 10-26-2015 at 03:51 PM.
I WIN. GAME OVER. CHECK MATE. I CONTROL YOUR EVERY MOVE. WATCH WHAT HAPPENS NEXT
Last edited by user34615145; 10-26-2015 at 04:13 PM.
4.08 close.....nice job guys!!
Last edited by denco1; 10-26-2015 at 04:24 PM.