Roll Forward and Roll Up Tilray (NASDAQ:TLRY) NOV 27 '20 7.5 Covered Call 0.2 USD Covered Call - Potential income return 25.53% in 100 days / 93.18% annualized

On November 20, 2020, we roll forward and roll up 1 covered call on NASDAQ:TLRY stock - a position originally established on August 17 2020, with buying 100 shares of TLRY paying $6.5 per share and simultaneously selling $6.5 strike price covered call.

This trade comes as the #27 in the month of November, according to our trading plan for this month, the premium generated from this trade makes us about 3.91% from our $450 monthly goal, while in total we have already reached 156.64% so far.

Tilray is a Canadian pharmaceutical and cannabis company, incorporated in the United States with primary operations headquartered in Toronto, Ontario. Tilray also has operations in Australia, New Zealand, Germany, Portugal, and Latin America

here is our trade setup:

  • SLD 1 TLRY NOV 27  '20 7.5 Call Option 0.2 USD

what can happen next:

TLRY is trading below our strike price of $7.5 at the expiry date (November 27, 2020), in this case, we keep the premium and sell more covered calls to lower our cost basis. 

In case TLRY is trading above our strike price of $7.5, our 100 shares get called away at the strike price of $7.5  we realize our max gain $166 or 25.53% potential income in 100 days

Break-even: $5.85

Selling covered calls with TLRY stock
Selling covered calls with TLRY stock
  • Running Total  20 Trades since July 23, 2020

  • Options income: $182