Exited CMCSA Naked Puts

Not even two hours after I said I would not trade any this week Comcast (CMCSA) did an about face and turned negative.  I was short four naked puts that I had previously sold at .75 and received $287 after commissions.  With CMCSA moving back below the strike I decided to get out while the getting was good.  I bought back all four puts for .65 each and paid $272.99 including commissions while CMCSA was up from its earlier lows and trading at 24.55.  I figured $14.01 was better to go ahead and take as a profit now than deal with being assigned and having to work my way out of the position with covered calls on this one.

I could have waited and taken the chance Comcast would rise before Friday or at least stayed flat which would have let me pocket another $60-80 in what’s left of the time value that will disappear Friday afternoon.  Since I entered into the CMCSA position I’ve become less enamored with the stock and that was the final decision maker for getting me out two and a half days before expiration.

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