| All rights reserved - Core Position Trading, LLC - 2025 | |||||||||
 | NEW CCW TRADE | ||||||||
| NEW (ITM) COVERED CALL TRADE IS NOW | OPEN | ||||||||
| DAYS | THIS NEW CCW TRADE BEGINS AND ENDS | ||||||||
| 9 | February 19, 2025 | February 28, 2025 | |||||||
SOXL |  | TIME AND DATE STAMP | |||||||
| Wednesday, February 19, 2025 | |||||||||
| Direxion Daily Semiconductor Bull 3X Shares | |||||||||
| 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'. | |||||||||
| UNIQUE TRADE IDENTIFIER | SOXL29.52.72 | ||||||||
| DETAILS FOR THIS COVERED CALL TRADE | |||||||||
| Today a NEW (ITM) Covered Call position was opened using (ticker: SOXL) | |||||||||
| Direxion Daily Semiconductor Bull 3X Shares , when the stock was trading for $31.45 a share I Sold (5) (ITM) Covered Call contract(s) using (500) shares for the Febuary-28-2025 expiration date, strike price of $29.50 receiving a premium of $2.72 or $385 in up front cash flow to begin this trade. These shares I'm using have were aquired via () and have a cost basis of $31.45 per share. | |||||||||
| COMMENTARY AS TO WHY I OPENED THIS TRADE | |||||||||
| WHY I OPENED this CCW on > SOXL | |||||||||
| This SOXL (9) day trade , where I'm trying to capture anywhere from 1.2% to 1.6% for a 5 day trade will make me a projected 2.45% Cash on Cash on money invested | |||||||||
| Further Commentary as to why I did this trade | |||||||||
| SOXL ( 3x Leveraged ETF to the Semiconductors ) > Feeling with SOXL now over $31 ... and a pull back to the Keltner Channel MID would be $29 ... we do the $29.50 strike for some downside protection and a nice little 2.24% premium as well | |||||||||
| THIS TRADE WAS PLACED INSIDE MY NON-TAXABLE IRA ACCOUNT | |||||||||
| NO EARNINGS DURING THIS TIMEFRAME | |||||||||
| NO EX-DIVIDEND DATE DURING THIS TIMEFRAME | |||||||||
| PROJECTED PROFIT POTENTIAL (CCW PREM ONLY) | |||||||||
| If this trade goes as planned, I will have my shares taken at my strike price and I will only collect the difference between the Real Money and Time Value which is the plan | |||||||||
| COST BASIS | STRIKE | PREM | Projected Cash Flow | ||||||
| $31.45 | $29.50 | $2.72 | $385.00 | ||||||
| DAYS ON | INTRINSIC VALUE | TIME VALUE | Cash on Cash % | ||||||
| 9 | $1.95 | $0.77 | 2.45% | ||||||
| This being an ITM Covered Call ... I did collect the premium of $2.72 but remember that I'm giving away my shares cheaper at $29.5 so in this case the Time Value premium profit could be $0.77 or $385 in total premium profit if NO buy back. | |||||||||
| MY COST BASIS ON THESE SHARES | |||||||||
| Cost Basis - shares | Acquired? | Shares | Total Cost | ||||||
| $31.45 | Bought | 500 | -$15,725.00 | ||||||
 | HOW YOU WOULD BENEFIT FROM THIS TRADE | | |||||||
| ITM CC BUY SHARES > SELL CALL | |||||||||
| For this trade, I already own the shares, so my total profit may or may not include stock appreciation. In your case, you would purchase the shares outright at the current trading price I’ve provided. You would then proceed to sell a near-term covered call, aiming to achieve the same premium for the same strike price and expiration date. | |||||||||
| OF COURSE, this is all projected and the final results could have you LOSING MONEY. Ensure you understand this trade and that it meets your risk tolerance. I wish you good luck. | |||||||||
| Stock Price was | Strike Price | Expire | Premium | ||||||
| $31.45 | $29.50 | Feb-28 | $2.72 | ||||||
| 100 Shares | IF Sold | Your Projected Profit | |||||||
| $3,145.00 | $2,950.00 | [ Stock Move + Premium - Cost Basis ] | |||||||
| $77.00 | |||||||||
| 2.45% | |||||||||
| MY FAVORITE COVERED CALL TRAINING VIDEO | |||||||||
| CLICK HERE TO WATCH CCW TRAINING |  | ||||||||
| https://youtu.be/gYDt4S6Ixhk | |||||||||
| BASIC CCW TRAINING | |||||||||
| CASH SECURED PUT > SAME STRIKE | |||||||||
| I DID THE ITM CC , YOU COULD DO THE CSP , SAME STRIKE | |||||||||
| I bought shares and then sold the ITM CCW ... you could select the same Strike Price and sell a Cash Secured Put ... basically the same trade with similair Cash on Cash % on money invested' | |||||||||
| COST BASIS | STRIKE | PREM | Projected Cash Flow | ||||||
| $29.50 | $29.50 | ~ $0.77 | $385.00 | ||||||
| Cash on Cash % | |||||||||
| 2.45% | |||||||||
| 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. | |||||||||
| This is not a recommendation to buy or sell this stock | |||||||||
| 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 | |||||||||
| 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. | |||||||||
| 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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