Tuesday, July 27, 2010

[TheOptionClub.com] weekly options on AAPL for covered calls

 

I've been having good luck with the new weeklies for covered calls. For example: at the close today (Tues) you could buy AAPL at 264 and sell a 260 strike that expires Friday for 5. Net debit of 259. If called you make 1/259 in 3 days, or 47% annualized. If not called then I'm happy to own AAPL at 259 and would sell a 260 strike for the following week.

MikeS

__._,_.___
Recent Activity:
The goal of TheOptionClub is to provide a forum for members to work together for the purpose of furthering our individual understanding option trading.  All messages and postings, and any materials circulated are provided for discussion and educational purposes only.  No statement contained in any materials from TheOptionClub should be considered a recommendation to buy or sell a security or to provide investment, legal or tax advice.  All investors are encouraged to consult a qualified professional before trading in any security.  Stock and option trading involves risk and is not suitable for most people.  There is no guarantee that any information provided is accurate and, may in fact, be wrong.  It is understood that the participants in TheOptionClub have varying backgrounds and degrees of experience in option trading, and that regardless of experience each member is considered a student.  As such, any information distributed through TheOptionClub should be considered with a critical mind and not relied upon as an authoritative source.

To unsubscribe from TheOptionClub, send an email to:
OptionClub-unsubscribe@yahoogroups.com
MARKETPLACE

Stay on top of your group activity without leaving the page you're on - Get the Yahoo! Toolbar now.


Get great advice about dogs and cats. Visit the Dog & Cat Answers Center.


Hobbies & Activities Zone: Find others who share your passions! Explore new interests.

.

__,_._,___

No comments:

Post a Comment