| All rights reserved - Core Position Trading, LLC-2023 | |||||||||
 | NEW CSP TRADE | ||||||||
| STANDARD CASH SECURED PUT TRADE IS NOW | OPEN | ||||||||
| THIS TRADE WAS PLACED INSIDE MY NON-TAXABLE ACCOUNT | |||||||||
| DAYS | THIS NEW CSP TRADE BEGINS AND ENDS | ||||||||
| 30 | March 29, 2023 | April 28, 2023 | |||||||
TNA |  | TIME AND DATE STAMP | |||||||
| Wednesday, March 29, 2023 | |||||||||
| 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'. | |||||||||
| DETAILS FOR THIS CASH SECURED PUT TRADE | |||||||||
| Today, (20) Covered Call contract(s) were sold on Direxion Daily Small Cap Bull 3X ETF (ticker: TNA) for the Apr-28-2023 Expiration Date, $30.00 Strike Price for a Premium of $2.14. TNA was trading for $30.29 a share. | |||||||||
| Stock Price - placed | Date | Total Prem$ | Contracts | ||||||
| $30.29 | Mar-29 | $2.14 | 20 | ||||||
| Strike Price | Expire | Days | Projected Cash Flow | ||||||
| $30.00 | Apr-28 | 30 | $4,280.00 | ||||||
| WHY I OPENED this CCW on > TNA> Looking at the chart this stock hasn't traded at $27 in a long time in fact it hasn't since covid now the $30 strike gives me a nice playground should I be a sign the shares and this $2.14 could be downside protection meaning if I use this premium for downside protection that would be about $27 so what I'm looking to do here is pick the $30 strike because I believe it'll trade around or above $30 by expiration but if I'm assigned the shares and the Market Street sideways then even if I'm assigned $30 I could use this premium for downside protection writing a covered call and still being a clean trade we will see I will manage this trade but that is the thinking > as always, I will manage this trade as it approaches expiration ... buying back the option if it adheres to my -50% and 0.10 cent guidelines. -50% guidleine being, such this option price fall 50% or more in the first 2 weeks I will buy back and look to roll the option - if the this option falls to 0.10 or less (in most cases) I will buy back the option and roll it for another credit if it presents itself. | |||||||||
| Cash Invested? | Projected Prem? | CoC% | |||||||
| $60,000.00 | $4,280.00 | 7.07% | |||||||
MET 3% GOAL | |||||||||
| General plan for my Cash Secured Puts Cash on Cash % investments > I like to generate a 2% Cash on Cash return on my money invested ... depending on the timeframe ... 1 week, 1% is ok but if 30 days I want more like 2 ot 3% perferred | |||||||||
| -50% , -10% RULES (PRICES WHEN I MIGHT BUY BACK) | |||||||||
| Premium | -50% | 10% Rule | |||||||
| $2.14 | $1.07 | $0.21 | |||||||
| What does this mean? If within the first week the option falls 50% I will buy back the option and look to roll for another credit ... if the option falls to 10% of the value, I will buy back and roll. | |||||||||
| ___________________________________________________________________________________ | |||||||||
| Trading stocks and options have risk. Required reading prior to placing money at risk with options is the ODD which is posted below. "The Characteristics & Risks of Standardized Options" Prior to buying or selling an option, investors must read a copy of the Characteristics & Risks of Standardized Options, also known as the options disclosure document (ODD). It explains the characteristics and risks of exchange traded options. | |||||||||
| 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. | |||||||||
| Disclaimer - Yes - at the time of this posting I do own shares. That could mean in my taxable , non-taxable accounts or both. I am by no means recommending this stock for purchase | |||||||||
| Feel free to email me if you have questions and/or concerns about this post - corepositiontrading@gmail.com - I usually will get back with you in 48 hours or sooner | |||||||||
| © 2023 Core Position Trading, LLC and the CPT Dashboard - All Rights Reserved | Disclaimer | ||||||||
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