Covered Calls

Put Ratio Back Spread on RDSA - 0.7% potential income in 4 days

AMS:RDSA
I made this ratio back spread on RDSA from Amsterdam stock exchange to offset a loss from a losing ratio back spread made and increase my margin buying power. In the past, I have played a bit with the ratio back spread trades, but I cannot report any good results so far. I have  Here is the trade setup:     SLD  1  RDSA    MAY 15 '20 14.8 Put Option (ROY)  0.23    EUR      BOT  2  RDSA    MAY 15 '20 13.8 Put Option (ROY)  0.06    EUR   Received net credit: 0.11 EUR what happens next? If…

Roll Forward GPS MAY 15 '20 8 Covered Call Option 0.27 USD

GPS
With GPS stock price hovering around $7.91 on Friday evening just before the options expiry, I decided not to risk with a possible assignment of our 100 shares getting called away at $8 and bought back call option for $0.02, to roll forward it the next week's expiry for additional credit $0.29. We call it a wheel strategy.  Here is the trade setup: BOT 1 GPS MAY 08 '20 8 Call Option 0.02 USD   SLD 1 GPS MAY 15 '20 8 Call Option  0.29 USD   This trade was originally launched just 7 days ago…

Roll Up ET $7.5 to $8 Covered Call to Protect $0.305 dividend

ET
This position was originally established on April 28, by buying 100 shares of ET at $7.345 and simultaneously selling covered call with a strike $7.5 for a $0.2 premium, see: SLD 1 ET MAY 08 '20 7.5 Call Option 0.20 USD Today ET was trading $7.81 and there is just one day left until stock is going ex-div, we are risking of stock being called away and not collecting the dividend. To protect the dividend it was decided to roll up call strike from $7.5 to $8 BOT 1 ET MAY 08 '20 7.5 Call Option…

SLD 1 ET MAY 08 '20 7.5 Call Option 0.20 USD

ET
On April 28, 2020, I bought on margin 100 shares of ET at $7.345 per share to sell simultaneously 1 covered call contract with 10 days expiry on May 8, 2020 With this buy, I hope to capture a hefty dividend (0.3). ET stock is going ex-div on May 6 BOT 100 ET Stock 7.345 USD SLD 1 ET MAY 08 '20 7.5 Call Option 0.20 USD Potential income return 8.8% in 10 days Break-even: $6.82

SLD 1 BCRX MAY 15 '20 4 Call Option 0.62 USD

BCRX
On April 28, 2020, I bought on margin 100 shares of BCRX (BioCryst Pharmaceuticals, Inc.) at $3.875 per share to sell simultaneously 1 covered call contract with 15 days expiry on May 15, 2020 BOT 100 BCRX Stock 3.875 USD SLD 1 BCRX MAY 15 '20 4 Call Option 0.62 USD  Potential income return 19.12% in 15 days Break-even: $3.25

SLD 1 GPS MAY 08 '20 8 Call Option 0.22 USD

GPS
Bought on margin 100 shares of GPS (Gap Inc) at $7.585 per share to sell simultaneously 1 covered call contract with 7 days expiry on May 8, 2020 Here is the setup: BOT 110 GPS Stock 7.585 USD SLD 1 GPS MAY 08 '20 8 Call Option 0.22 USD Potential income return 8.37% in 7 days Break-even: $7.365