[hache02]

I thought of repairs but premiums are still low (CC). I guess I’ll wait, getting paid 8.75% (as of today) to wait.

I expected some drop on ex-div but over 2 times the dividend!!!

[hache02]

I’ve read some will roll (maybe down) when the sp hits the strike prike (or close to it). What do you think of that strategy?

[hache02]

I’m trying her Leap trade and it sort of working well but I’m not gettting the low long prices that I got in JAN (need to roll jan-mar, mar-jun and jun to sept). Time is running out.

Buy writes work well, BPS work when I don’t do too big or too close to sp.

Not easy in times like this.

[hache02]

I found the same thing but Teddi seems to do it early in the day and/or does the calls and puts seperate.

We shall wait for her writeup.

I stopped trying them as 1. the volatility the next days disappears after earnings 2. I cannot get the premiums low enough to make profits probable.

[hache02]

I look at the June puts to buy and most if not all are more expensive than when I bought the March puts. What do you do in this case as this will end up taking all profits if this continues for Sept and Jan long puts?

thanks
Denis

[hache02]

Now I’m done, having added QCOM at 90 strike and UNP at 160. Total about 13K in premiums though buying the long puts will reduce that.

[hache02]

I got AMZN yesterday and plan to add QCOM and UNP today and I’m done for the year (on these jan/Mar trade.

[hache02]

Thanks.

I ended up doing it on UNH at the 310$ price. Got 4.80 for 5 contracts. Price about 471 and 310 is almost the price when Covid was bad.

[hache02]

Hi Teddi

I’m looking at MRNA at 80 or 90 strikes. Looks good though how low can it be driven with COVID almost done?

Also looking at QCOM and UNP (I did JPM and already making .65 of the 3$ I received).

What do you think of these. 12K premiums for this year as of today for the year if written.

ps. Since I have JPM, I’d rather have 4 in different industries.

[hache02]

So are there any that you are looking at to do this strategy with?

[hache02]

I got the JPM leap calendar for 3.00 per. I guess the problem is if it drops to 100$ when you have to role the mar to jun etc.

Any other stocks you would do this to? DIS at 80 looks promising as an example of a stock I like.

Denis

[hache02]

Ok I thought since the 2 strikes are the same, then no margin unless assigned.

With the markets way down last 2 days, JPM might now be viable.

thanks for the response
Denis

[hache02]

How would you fix this, monthly CC just OTM (85 * 6 – to July – would bring him close to breakeven by July) or a longer plan, other plan? oz hid his answers so hard to see what he’s leaning to.

[hache02]

Could you please post that list here?

[hache02]

Teddi,

In your daily writeup before the market, you stated the last 2 days that you expected markets to bounce.

Can you writeup why you called that right? I left to get new phone Thursday afternoon after the continuation of Wed’s big declines, I got my phone close to 4pm and the markets had gone up crazy (same with today).

I would have bet a big drop based on missiles flying, etc and what Putin was doing to those poor people.

thanks

[hache02]

Teddi,

Well said. I got here thru the beauty of youth and compounding and I tell many that it’s a marathon, not a get rich quick scheme.

[hache02]

I rolled 1 week out at the same 133P. Today I used the bump up to roll all my puts and calls of this week to next week. Right now I have been doing weeklies or 2 weeks out. I opened a UL position today to Feb as it only has monthlies.

[hache02]

I ended up rolling the 133P and profit took the long 123P (near that 131 low) so it ended up being a CSP (for Jan21). 1.80 left for almost 4$ OTM. I’ll roll until out.

[hache02]

WOW I was ready to close my 133/123 BPS for under .15 but go away, come back and it dropped like a rock 4$.

Like you said, take profits when they appear (which I did for BA, DOW and TAP today, TXN later).

[hache02]

Yes, I did some TD but CNR has been great. Rogers too. BAM, ATD, AQN. SJ Whenever I saw any on sale.

[hache02]

Teddi

I started with dividend stocks, DRIP all of them and buy and hold. I just kept adding savings from work and getting stock from work like BMO and CNR. Interestingly changed to CSP/Buy-write about the time a friend told me about you. I was lucky to retire young 10 years ago at the start of this massive bull market.

Best year at 20.6% last year and am 40% cash, most since I had 50% cash sometime last year.

Lets see how good or bad (talking heads were all over CNBC this week calling for a 10-60% correction) this year becomes. Lots of issues – Covid worse yet here in Quebec, inflation bad, employment highest in memory and rates, so best to be cautious IMO.

thanks for a great year. For me, I survived a heart attack so there’s that. In the hospital the same day, I did a few trades on my phone as nothing else to do lol.

[hache02]

I used a lot of your trades this year and just calculated my return of 20.6%. Not bad, thanks

[hache02]

That is why I wonder at all the people trading spreads on miniscule accounts. You need capita; to diversify and to recover when you are wrong. All you need is a correction to be wiped out. Not an easy business.

[hache02]

I bought and sold the call side for 1000$ profit and bought, sold and bought again the put side for 900$ profit. I missed reloaded the call side so I had only the put side, luckily.

So a 3510 net cost should pay the full 17500 (I used a 17.50 wide put legs on DOCU) so better lucky than good lol.

thanks for the idea.

[hache02]

Teddi,

Thanks for the writeup on BA. I closed the CC for Dec17 when it went down to 198 and wait to reload. I had sold for 4$ and closed for 1.59.

[Author]

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