Roll Forward TLRY OCT 30 '20 7 Covered Call Option 0.10 USD (8.17% potential income in 86 days / 34.64% annualized)

On September 22, 2020, we roll forward 1 covered call on TLRY stock  - a position originally established at the last week of August (Covered Call on TLRY - Potential income return 5.85% in 30 days), but started as a credit spread at the start of August, see: Credit Spread on TLRY – 4.74% potential return in 23 days

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.

This trade comes as the #29 in the month of September, according to our trading plan for this month, the premium generated from this trade makes us about 0.95% from our $800 monthly goal, while in total we have already reached 70.46% this month

here is our trade setup:

  • SLD 1 TLRY OCT 30 '20 7 Call Option 0.10 USD

what can happen next:

TLRY is trading below our strike price of $7 at the expiry date (October 30, 2020), in such 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, our 100 shares get called away at the strike price of $7 and (as we have already collected some premium from selling puts an) we realize our max gain $57.2 or 8.17% potential income in 86 days

Break-even: $6.44

  • Running Total  15 Trades since July 23, 2020

  • Options income: $149