Today´s Trades (08.01.2021)

  • Sold 250 JHG. Profit: 627.96 $
  • Sold 1 CLSK Jun18´21 15 Call. Profit: 2338.62 $
  • Bought back 1 API Jan15´21 35 Put. Profit: 108.58 $
  • Bought back 3 PLTR Jan15´21 22 Put. Profit: 250.58 $
  • Bought back 3 PLTR Jan22´21 21 Put. Profit: 295.61 $
  • Sold 1 CELH Jul16´21 35 Call. Profit: 1988.13 $
  • Sold 180 VRM. Profit: 975.5 $
  • Sold 500 SWIR. Profit: 969.75 $
  • Sold 500 VFF. Profit: 244.8 $
  • Sold 500 WYY. Loss: -160.17 $

This day´s (and yesterday´s too)  motto was: Sell into strength. 

Today´s Trades (24.12.2020)

  • Sold 620 MIK. Loss: -506.92 $
  • Sold 1500 SMTS. Loss: -328.71 $
  • Sold 1000 HYRE. Profit: 189.72 $
  • Sold 1 BABA Jun17´22 260 Call. Profit: 1345.76 $
  • Sold 1 BILI Jan21´22 50 Call. Profit: 2608.47 $
  • Bought 1000 GOCO.
  • Sold 1000 CYCC. Profit: 1624.56 $
  • Sold 300 WMG. Profit: 395.85 $
  • Sold 2 FUBO Jan15´21 30 Put
  • Sold 2 CRSR Feb19´21 25 Put
  • Sold 2 BZUN Jan21´22 50 Call. Loss: -153.55 $

Trades with a Profit or Loss ended today. Trades without started today.

Today´s Trades (15.12.2020)

  • Bought back 2 CRSR Dec18´20 30 Put for 0.1 $. Profit: 128.06 $
  • Bought 3 RKT Dec17´21 25 Call.
  • Sold 150 AHCO. Loss: -31.89 $
  • Sold 696 CANG. Loss: -693.34 $
  • Sold 280 FOCS. Profit: 288.09 $
  • Sold 300 JHG. Profit: 15.57 $
  • Sold 75 Z. Profit: 2114.76 $
  • Bought 1 RKT Jan20´23 30 Call.
  • Bought back 1 DKNG Dec18´20 55 Call for 0.2 $. Profit: 126.98 $
  • Sold 1 DKNG Jan15´21 55 Call.
  • Bought back 2 GRWG Dec24´20 25 Put for 0.1 $. Profit: 158.78 $
  • Sold 350 TOMZ. Loss: -318.57 $
  • Bought 7 RADA Jul16´21 10 Call.

Trades with a Profit or Loss ended today. Trades without started today. 

Summary XPO

11 March 2019 – that was the day i sold the first XPO option. A few more followed. I always sold 1 option. There is much more profit possible if you sell several options. 

Now the journey came to an end and i present here briefly the result.

Total premiums: 1790.32$
Put premiums: 993.06$
Call premiums: 797.26$
Stock gain: 500$

The overall result is therefore: 2290.32$

You can see here in detail that only 2 times a loss has occured. Both times i rolled the option and the loss turned into a gain. 

575 Dollar Loss in XPO?

Hmmmm… not really. I sold a call option on XPO for 1$ and bought it back for 6.75$. At first glance it looks like i made that loss of 575$. 

But – i not only bought that option back. I rolled it out. That means i sold another call. One month in the future. For 7.1$. Strike: 95$.

So what can happen on expiration date?
1. XPO is above 95$. I receive 710$ and 100 XPO shares are sold for 95$. (The shares were booked to me through a sold put for 90$ so i would have an additional profit of 500$)
2. XPO is below 95$. I receive 710$ and 100 XPO shares stay in my account. 

Definitely i would have a minimum profit of 135$ (710-575).

Last 4 trades

  1. Sold 1 FSLY Nov20´20 60 Put.  Received 105 $ premium. Fastly has lost more than 30% in 2 days. I would take 100 shares for 60$ if it is below the strike on 20th November. 
  2. Bought 200 ONEW. 
  3. 1 STOR Oct16´20 30 Call has expired. Received 40$ premium. 
  4. Bought 1 LRN Oct16´20 30 Put back. Received 28.67$ premium. If i hadn´t bought them back, the shares would have been booked to me. And i don´t want them. 

Example – how to collect option premiums

Instrument: XPO Logistics, Inc.

Reason: Why this one? When you look at the chart at the day i sold the Put Option it looks to me like XPO is forming a bottom. The second reason was that XPO was about to join the S&P Midcap 400 Index. It´s often the case that when a company joins an index, it will rise the next weeks/months.

1st Option:
Sold 1 XPO Apr18´19 45 Put. That means i sold a Put Option to someone which ends on 18th April 2019 at a 45$ Strike. (Mr. Someone has the right to sell 100 XPO stocks for 45$ on 18th April to me. I have the obligation to buy it from him. This makes only sense if the price on 18th April is below 45$).
More than 10 % lower than the price of the stock on this day.
Entered the trade on 11th March 2019 for 1$. Bought the Option back on 1st April 2019 for 0.1$.

2nd Option:
Sold 1 XPO May17´19 47.5 Put for 1.05$. Entered the trade on 1st April 2019. Bought it back on 2nd May 2019 for 0.1$.

3rd Option:
Sold 1 XPO Jun21´19 55 Put for 1$. Entered the trade on 2nd May 2019. Rolled the option out. So i bought it back with a loss and sold another Put with a lower strike and a further-dated expiration.

4th Option:
Sold 1 XPO Jul19´19 52.5 Put for 3.6$. Entered the trade on 28th May 2019. Bought it back on 16th July for 5 cents.

5th Option:
Sold it not immediately after i bought the fourth option back because of earnings on 1st August. One day after earnings (2nd August 2019) i sold 1 XPO Sep20´19 60 Put for 1.1$. Bought it back on 5th September for 22 cents.

6th Option:
Sold 1 XPO Oct18´19 62.5 Put for 1.1$. Bought it back on 10th October for 22 cents.

7th Option:
Sold 1 XPO Nov15´19 62.5 Put for 1.45$. Bought it back only 15 days later for 30 cents.

8th Option:
Earnings on monday (28th October) after market close. Probably i´ll sell another put on Tuesday. Sold it on 1st November for 1.15$. Bought it back for 22 cent.

9th Option:
Sold 1 XPO Dec20´19 77.5 Put for 0.7$. Bought it back for 0.14$.

10th Option:
Sold 1 XPO Jan17´20 72.5 Put for 0.8$. Bought it back for 0.15$.

11th Option:
Sold 1 XPO Feb21´20 70 Put for 1.05$. Bought it back for 0.2$ only 7 days later.

12th Option:
Waiting for 2 reasons: 1: Earnings in a few days. 2: Danger of slowdown because of the Coronavirus.
Sold 1 XPO Mar20´85 Put for 1.1$. Bought it back for 0.22$ 8 days later.

13th Option:
Sold 1 XPO Mar20´20 90 Put for 0.75. This time the option got assigned and i´ve now 100 stocks in my portfolio. The premium i kept, of course.

14th Option:
Now that i have the stocks in my portfolio, i can sell calls against it.
Sold 1 XPO Jun19´20 90 Call for 1.4. Bought it back for 0.3.

15th Option:
Sold 1 XPO Aug21´20 90 Call for 2.1. Bought it back for 0.2.

16th Option:
Sold 1 XPO Sep18´20 92.5 Call for 2.35. Bought it back for 0.3.

17th Option:
Sold 1 XPO Oct16´20 95 Call for 1.95. Bought it back for 0.3.

18th Option:
Sold 1 XPO Oct16´20 90 Call for 1. Rolled the option out. That means i bought it back for 6.75$

19th Option:
Sold 1 XPO Nov20´20 95 Call for 7.1. Expired worthless.

XPO Logistics on the day i sold the first option:

RESULTS:

Collected 1st Option Premium: 88.61$

Collected 2nd Option Premium: 93.56$

Collected 3rd Option Premium: – 286.39$

Collected 4th Option Premium: 353.55$

Collected 5th Option Premium: 86.61$

Collected 6th Option Premium: 86.61$

Collected 7th Option Premium: 114.36$

Collected 8th Option Premium: 91.66$

Collected 9th Option Premium: 55.36$

Collected 10th Option Premium: 63.56$

Collected 11th Option Premium: 84.31$

Collected 12th Option Premium: 87.36$

Collected 13th Option Premium: 73.90$

Collected 14th Option Premium: 109.52$

Collected 15th Option Premium: 187.81$

Collected 16th Option Premium: 204.52$

Collected 17th Option Premium: 162.83$

Collected 18th Option Premium: -576.32$

Collected 19th Option Premium: 708.9$

How to lose and have no loss in the end.

Confusing title? Let me explain: 

On 5th March i sold a put option on V.F. Corporation (VFC) for 1.05 $. 40 days later i had to buy it back for 5.25 $. That was a loss of 420 $. Well, in hindsight March was not the perfect time to sell this option but none of us have a crystal ball. 

Now one can accept the loss or figure something out. I did the second. 

So i again sold a put with a lower strike for 5.15 $. But VFC was not nice, the price has fallen further – and i had to buy it back for 5.9 $. Again a loss – this time 75 $. 

Once again i sold a put with a lower strike. This time for 5.2 $. Today i bought it back for 0.1 $. That was a 510 $ win. 

What i mean in this article is that if you choose a good stock, even if it temporarily goes down, in the end you will mostly reduce your initial loss by rolling your options forward and down.