I had a good month to be short options. Every one of my short positions closed out of the money leaving me with a full profit on each one. I could’ve written higher strikes and made more money, but opted to go with out of the money naked puts for all of these except for EEM, which I wrote in the money betting on the price increase it ended up getting. Since I’ve mostly stayed away from much research this past week while I crammed for my exam I need to do some catch up at the beginning of the week to decide where and how much I want to make my next trades.
Here’s how Friday’s options expired on Friday.
(The first number is how many contracts I was short.)
- 2 BA Oct 50 Puts – BA closed at $53.19 – I might wait for another little dip
- 3 DSX Oct 12.5 Puts – DSX closed at $14.37 – I still like DSX, but it’s too far from a good strike to make the premiums worth it for me right here.
- 3 EEM Oct 38 Puts – EEM closed at $40.75 – I’ll probably get back in to keep this as a mainstay.
- 2 FWLT Oct 33 Puts – FWLT closed at $30.007 – This one was fun to watch as I took a break from studying. Just four trading days ago, FWLT hit an intraday low of $30.75. It rallied big the following two days leaving me with a decent cushion going into Friday. Within the first hour of Friday’s trading it was down nearly $1.50 only to put back on its “rally cap” and manage to close less than a full penny out of the money. I uploaded the chart below here from the final hour of Friday’s trading on FWLT to show how much it bounced around, especially in the final 10 minutes of the day. One can only assume some big money players were pushing this back and forth as their options unwound.
- 2 SSO Oct 32 Puts – SSO closed at $36.38 – You know I can’t resist getting back in to SSO. I just have to pick a price.
- 2 T Oct 25 Puts – T closed at $25.70 – I’m not sure what I think of T right now. Need to give this one some thought. $25.00 is probably still somewhat safe, but the premiums aren’t offering much right now.
- 3 UCO Oct 11 Puts – UCO closed at $13.92 – I might wait for dip.
I have two positions I’m still short for November expiration:
- 6 NDAQ Nov 20 Puts
- 3 UWM Nov 23 Puts
