Sold 1 Naked Call on AMWL - Potential income return 0.78% in 64 days

In March 18, 2021, we sold 1 naked call on AMWL stock expiring on May 21, 2021. For this trade, we got a $30 premium (before commissions).

This trade comes as #119 in the month of March, according to our trading plan for this month, the premium generated from this trade makes us about 1.38% from our $2,000 monthly goal. While in total we have reached already 243.33% so far. Awesome.

here is our trade setup:

  • SLD 1 AMWL MAY 21 '21 35 Call Option 0.30 USD

what can happen next:

AMWL is trading below our strike price of $35 at the expiry date (MAY 21, 2021), in such case, we keep the premium.

In case AMWL is trading above our strike price of $35, we are troubled as we have to deliver 100 shares at the price of USD 35, to avoid that we will try to roll up and for credit. Our max gain $27.6 or 0.78% potential total income return in 64 days

Break-even: $35.25