| All rights reserved - Core Position Trading, LLC - 2026 |
 | CLOSED CCW TRADE |
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| FINAL CLOSEOUT FOR THIS INVESTMENT - 99 DELTA SOLD | CLOSED |
| The 0.99 delta covered call strategy means that instead of purchasing the shares outright, I buy a 2–3 month in-the-money call option (what I refer to as a LEAPS) to simulate stock ownership. The key requirement is that the time value (extrinsic premium) on the LEAPS must be under 0.5%. Additionally, when combining the cost of that time value with the premium received from selling the covered call, the total position must meet my target — a minimum cash-on-cash return of 1.2% per week on an covered call basis. |
| Today I CLOSED this Covered Call position on (LABU) |
LABU moved considerably higher after this trade was placed. This was an out-of-the-money covered call, and the stock quickly powered through our $165 strike price, confirming the strength we were seeing in the biotech sector. As the trade progressed, we were able to capture the vast majority of the premium while the underlying continued to rally. With the position achieving its objective, we closed the trade by selling the 99 Delta Deep In-the-Money Call Options and locking in the gains. The final result: $4,525 in realized profit. Could we have held longer and potentially made more? Maybe. But that's not the goal. The goal is to consistently execute high-probability setups, manage risk, and take profits when the market gives them to us. Another successful 99 Delta trade in the books. Cash on the table, capital freed up, and ready for the next opportunity.
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| This trade makes $4525 in Covered Call Premium and 99 Delta Call Option close out. The stock moves higher allowing me to buy back the near term Covered Call and sell the shares making 5.5% on $ invested. |
| THIS TRADE WAS PLACED INSIDE MY NON-TAXABLE IRA ACCOUNT |
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| Stock Price - placed | Date | Expire WAS | Days On |
| $163.95 | Jun-5 | Jun-12 | 7 |
| Strike Price | Contracts | BUY BACK | BUY BACK NET |
| $165.00 | 5 | -$13.00 | -$1,875.00 |
| Cash Invested? | BUY BACK % |
| $35,150.00 | -5.33% |
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| UNIQUE TRADE IDENTIFIER | LABU1658.2 |
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| TOTAL SHARES PROFIT/LOSS (CASH) | -$1,875.00 |
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| MY COST BASIS ON THESE 99 DELTA CALL OPTION |
| Cost Basis - shares | Acquired? | Shares | Total Cost |
| $70.30 | Bought | 500 | -$35,150.00 |
| Sold Shares | | | | Total Profit/Loss |
| $83.10 | | | | $41,550.00 |
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| TOTAL SHARES PROFIT/LOSS (CASH) | $6,400.00 |
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| HOW MANY COVERED CALLS USING THESE SHARES? |
| # of Trades | # of Days on | CoC % gain | | |
| 1 | 7 | 5.50% | | |
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| TOTAL PROFIT/LOSS (CASH) | $4,525.00 |
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| MY FAVORITE COVERED CALL TRAINING VIDEO |
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| CLICK HERE TO WATCH CCW TRAINING | | | | |
| https://youtu.be/gYDt4S6Ixhk | | | |
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| BASIC CCW TRAINING | | | |
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| JUST KEEPING IN THE IRA TO BUILD THE BANK ROLL | YES |
| Because this is in my non-taxable account I'm just going to use the premium to build the account size to make more premium versus buying dividend paying funds will save that for all my taxable accounts and with no tax implications we're not going to put any money in the tax bucket either |
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| 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. |
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| This is not a recommendation to buy or sell this stock |
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| Disclaimer: Yes, I do own other positions in this stock |
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| 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. |
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| 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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