After writing about Burlington Northern Sante Fe (BNI) a few weeks ago I might have misjudged this one today. I put a limit in for BNI this morning based on the idea that the chart looked like it would pull back a little bit sometime in the next few days. The premiums were nothing special this morning, but on a slight pullback could be good. That pull back happened sooner than I thought and the premiums jumped quicker than I thought they would. While BNI traded at 80.77 I sold one November 80 naked put (BNIWP) and received $309.25 after commissions.
I am happy that I waited for the order to the extent that I didn’t go in a market price, so overall I still like the trade.
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