| All rights reserved - Core Position Trading, LLC-2023 | |||||||||
 | CLOSED CCW TRADE | ||||||||
| STANDARD COVERED CALL TRADE IS NOW (NO ROLL) | CLOSED | ||||||||
| ADDED CASH FLOW | $710.00 | ||||||||
| BUT SHARES ARE DOWN | |||||||||
| DAYS ON | THIS COVERED CALL TRADE IS CLOSED / NO ROLL | ||||||||
| 9 | September 12, 2023 | September 21, 2023 | |||||||
FAS |  | TIME AND DATE STAMP | |||||||
| Thursday, September 21, 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 COVERED CALL TRADE | |||||||||
| Today, (10) Covered Call contracts were bought back on Direxion Daily Financial Bull 3x Shares ETF (ticker: FAS) for the Jul-21-2023 Expiration Date, $71.5 Strike Price for a Premium of $0.8 > FAS was trading for $68.16 a share. Because I bought this option back early, I did not make max profit. The final profit / cash flow collected it posted below. Instead of making the original premium, I collected $0.71 or 0.8875% of the total projected cash flow for this trade. | |||||||||
| THIS TRADE WAS PLACED INSIDE MY NON-TAXABLE IRA ACCOUNT | |||||||||
| COVERED CALL BUY BACKS ARE PREMIEUM ONLY TRADES | |||||||||
| Because I bought this option back, I still have my shares and this is a premium profit trade only. | |||||||||
| Stock Price - placed | Date | Expire WAS | Days On | ||||||
| $68.16 | Sep-12 | Sep-29 | 9 | ||||||
| Strike Price | Contracts | BUY BACK | Cash Flow Collected | ||||||
| $71.50 | 10 | -$0.09 | $710.00 | ||||||
| Cash Invested? | Cash Flow Collected | ||||||||
| $71,500.00 | 0.99% | ||||||||
| WHY THIS COVERED CALL WAS CLOSED (ASSIGNED/BUYBACK) | |||||||||
| WHY I CLOSED this CCW Trade > FAS > I also feel the stock is trading in a near term range I feel I can manage, I've decided to buy shares and write the OTM strike in hopes the stock will recover a bit and move higher allowing me to catch a little stock appreciation and covered call premium and having my shares taken for another possible MAX profit trade. | |||||||||
| DID I COLLECT A DIVIDEND DURING THIS TIMEFRAME? | |||||||||
| No, I did not collect a dividend because either > they did not have an Ex-Date during this timeframe > my shares were taken prior to the Ex-Date | |||||||||
| Dividend Amount | Shares | Cash Flow Collected | |||||||
| $0.00 | 1000 | $0.00 | |||||||
| General plan for my Covered Call Cash on Cash % investments > I like to generate a 3% 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 3% preferred | |||||||||
| -50% , -10% RULES (PRICES WHEN I MIGHT BUY BACK) | |||||||||
| Premium | -50% | 10% Rule | My Buy Back was? | ||||||
| $0.80 | $0.40 | $0.08 | -$0.09 | ||||||
| -50% Rule? | Percentage Down | ||||||||
| YES | |||||||||
| 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. | |||||||||
| DETAILS OF THE STOCK PURCHASE | |||||||||
| I have owned these shares with an original cost basis of $71.5 | |||||||||
| MY COST BASIS ON THESE SHARES | |||||||||
| Cost Basis - shares | Acquired? | Shares | Total Cost | ||||||
| $71.50 | Bought | 1000 | -$71,500.00 | ||||||
| HOW MUCH AS THIS MONEY INVESTED MADE USING THIS STOCK? | |||||||||
| Date | Type | Actual Prem $ | Total | ||||||
| Aug-8 | CSP | 1.45 | $710.00 | ||||||
| Aug-29 | CCW | $0.79 | $790.00 | ||||||
| How much cash flow I've generated using this money invested > | $1,500.00 | ||||||||
| How much (if any) am I down on the shares ? | -$11,190.00 | ||||||||
| What does this mean? I'm currently DOWN on the shares purchase by this much ... I DO NOT use CC Prems for cost basis reduction ... so this is what I down on the stock right now or as of this trade | |||||||||
| 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 | |||||||||
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