It’s been a while since I updated results on our twitter trades and it seems like a good time to do so. Just a reminder, during the trading week we publish trade ideas on twitter and Stocktwits accounts. We are summarizing them here as a way to have some post-mortem review on the trades. These posts are meant to help keep records on the trades and help gain insights on how we trade and help you become better in your trading.
- Read our previous post-mortem post
- Read a really good example on how we manage a position over time with our $BX position example.
The first trade I shared was Covered call $KO
— OptionSamurai (@OptionSamurai) March 9, 2015
$KO is dividend aristocrat (has been distributing bigger dividend each year for more than 25 years) and was on support before dividend. The position did not go perfectly as KO broke support, but it held $40 area. The position is currently breaking even after including the dividend and the calls. I intend on keep selling calls, similarly to the $BX position. The second trade was Naked put $MSFT
The reasons were in the tweet: good company, good div yield, support, cheap-ish.
I closed the trade for profit for 5 cents (usually don’t wait when I get a chance to close the trade for a nickel).
Third trade is still open, $EMR, ‘boring’ industrial company with steady dividends. So far the position is profitable.
— OptionSamurai (@OptionSamurai) March 16, 2015
Forth trade was $GILD
This trade was on my ATR radar, where I find trades that the break even point is much smaller than the volatility. Since the expiration was relatively close I closed the trade two days later, at a small profit (didn’t have enough time till expiration if I’m wrong).
I twitted about $GIS but missed a 7% move in few days, even though it was on my radar (happens sometimes…)
— OptionSamurai (@OptionSamurai) March 24, 2015
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