Hello Investors,
We went ahead and replaced a few of our trades that are expiring this weekend as follows:
Sold to open: BAC Jan 15th (monthly) 23.00 strike puts (naked put)
Credit: 0.32
Sold to open: DELL Dec 18th (monthly) 75.00 strike calls (covered call)
Credit: 1.05
Sold to open: QQQ Nov 27th (weekly) 280.00 strike puts (current diagonal put spread position)
Credit: 0.51
We closed our EFA covered call and 55 share hedge as follows:
Bought to close: EFA Nov 20th (monthly) 69.00 strike calls (covered call)
Debit: 1.18
Sold our 55 shares hedge in EFA at 70.16 per share
We have the following PENDING orders.
Sell to open: EFA Jan 15th (monthly) 75.00 strike calls (covered call)
Credit: 0.21
We also have a pending order to add a naked put to GM. This is to hedge our current covered calls and effectively turn the options into a short straddle (makes it better if the stock goes up, down or sideways a little). It is a Good ’til Canceled order.
Sell to open: Dec 18th (monthly) 40.00 strike puts (naked put)
Credit: 1.98 this is a GTC order and will require patience.
Last but not least, there are two trades to watch today into the close EEM and TMUS.
If either stock is above the short strike of the call then we want to simply “buy to close” the call contracts. We will wait until roughly 30-minutes before the close before taking action.
So, if EEM is at or above 49/share. If TMUS is at or above 130/share. Buy back the short calls paying as little a debit as possible!
Have a great weekend!