Roll Forward Royal Dutch Shell (AMS:RDSA) NOV 20 '20 12 Covered Call 0.12 EUR (Potential income 1.75% in 63 days / 10.13% annualized)

On October 2, 2020 we roll forwarded 1 covered call on Royal Dutch Shell (AMS:RDSA) stock - a position originally established on September 18, 2020.

Royal Dutch Shell PLC, commonly known as Shell, is a British-Dutch multinational oil and gas company headquartered in the Netherlands and incorporated in England.

This trade comes as the #1 in the month of October, according to our trading plan for this month, the premium generated from this trade makes us about 1.86% from our $600 monthly goal

Here is our trade setup:

  • SLD 1 RDSA NOV 20 '20 12 Call Option 0.12 EUR

what can happen next:

If RDSA is trading below our strike price of EUR 12 at the expiry date (November 20, 2020) we keep the premium and sell more covered calls to lower our cost basis.

In case RDSA is trading above our strike price of EUR 12, our shares get called away at the strike price EUR 12 and we realize our max gain EUR 21, or 1.75% potential income in 63 days.

Our break-even price: EUR 11.79

Selling covered Calls with RDSA
Selling covered Calls with RDSA
  • Running Total 12 Trades since May 11, 2020

  • Options income: EUR 136