| All rights reserved - Core Position Trading, LLC - 2021 | ||||
 | NEW CCW BUYBACK | |||
| Covered Call Option Buy Back | ||||
| Covered Call position was closed on | ||||
| TIME AND DATE STAMP | Monday, November 15, 2021 | |||
Cummins Inc |  | |||
| DISCLAIMER: This trade is based on this date. I'm not suggesting a move up or down. I'm showing my trade that I have already done. I'm not recommending this stock as a purchase/trade. Think of it like this, I'm 'Showing you the World thru my Eyes'. | ||||
| My brief explanation for this trade and how it closed | ||||
| MINDSET WHEN OPENED - Below I explain why I did this trade | ||||
| CCW - Looking at my Cost Basis tracker on CMI... I noticed that if I sell this CCW, collect the $1.35 dividend in Nov this will be a 7+% Cash on Cash trade for about 6 months of work ... CMI will sideways to higher and I probably collect the dividend ... if not, it will have been a clean trade having my shares ... taken at my stock purchase price, collect 4 CCW Premuims and 1 Dividend ... next earnings is ~Oct-25 so this will not effect my trade much as this expire is Dec-17 | ||||
| WHEN TRADE CLOSES - I explain my thoughts on how this closed out. | ||||
| Trade is CLOSED - With 30 days left on this CCW contract and only $1.60 remaining to collect from the $5.60 I collected, I can roll this down and out a month and make more credit ... I will collect the dividend along the way so I keep rolling this trade and will continue into 2022 | ||||
| The Headline Krum! (ACTUAL RESULT) | ||||
| TRADE KRUM! | DAYS | Cash on Cash % | CONTRACTS | SHARES |
| $501.00 | 63 | 2.13% | 1 | 100 |
| Below are the details of the Buy Back | ||||
| ORIGINAL PREM | BUY BACK PRICE | DIFFERENCE | PREMIUM PROFIT | |
| $5.26 | $1.60 | $3.66 | $501.00 | |
| Max Profit Projections for this trade (EXPECTATION) | ||||
| COMPANY | SYMBOL | SHARES | PRICE | TOTAL COST |
| Cummins Inc | CMI | 100 | $235.00 | $25,000.00 |
| EXPIRATION DATE | DAYS | STRIKE | OPTION | CoC % GAIN |
| Dec-17 | 63 | $250.00 | $5.26 | 2.13% |
| DIVIDEND | DIVIDEND GAIN | OPTION GAIN | STOCK GAIN | TOTAL KRUM |
| $1.35 | $135.00 | $526.00 | $1,500.00 | $2,161.00 |
| All calculations above are based on collecting [ Stock move + CCW + DIV if offered] | ||||
| This trade ADDS November-2021 Monthly Totals | ||||
| Current Running Total CoC$ Gain | $2,708.00 | |||
| Current Annual CoC% Gain | 45.18% | |||
| AT THE TIME OF THIS POSTING (time stamp above) | ||||
| Disclaimer - Yes - at the time of this posting I do own shares. I am by no means recommending this stock for purchase | ||||
| Remember, the content of this site is for informational and educational purposes only. If you invest using information contained here, do so at your own risk. Please read the full disclaimer posted below and visit cptdashboard.com for my privacy policy. | ||||
| Image credits - stockcharts.com | barchart.com | foolcdn.com | yahoo.com | earningswhispers.com | ||||
| All of my CPT Abbreviations and Acronyms can be found below | ||||
| https://cptdashboard.blogspot.com/2021/02/CPT-lingo.html | ||||
| © 2021 Core Position Trading, LLC and the CPT Dashboard - All Rights Reserved | Disclaimer | |||
