After writing about CRDN as one of Smart Money’s stock picks last week I sold one naked put on it this morning. While CRDN was trading at 69.39 my limit hit to sell one October 65 naked put (AUEVM) and received $169.25 after commissions.
I had a limit in for two October 60 puts for the past week, but CRDN never went as low as I thought it would and even started building an upward trend that might not go anywhere, but looked good enough at $4.50 out-of-the-money for me to make a move on it. I still think the 65 area can provide support if it falls, but hope it doesn’t fall far from it’s current price. My order hit while it declined today and the premiums are already higher than where I sold it. I only have a little over five weeks to go before it expires, so I still think it was a good move. Not leaving the money on the table for someone else would have been better, but I’ll stay happy with this move.
Another update – MRO is still moving big in either direction daily. I’m continuing to ride it out until my September covered call expires. I’ll figure out my next covered call on it when I get there. At least I received $48 in dividends on Monday. That always helps.
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You should get a CAPS account on http://www.fool.com
It is a good way to watch your trades, meet other traders and share ideas. You can also test how good you are vs other traders and wall street players.
I’ve read about CAPS acounts and thought about it signing up, but decided not to put my time resouces in that direction. I actually try NOT to compare myself to other individual investors as long as I’m beating the indexes. I have no delusions that I’m one of the best investors there is. I know I’m good based on my above average returns and TRY to remain content with that.
That said, if I had more time I’d probably do it. With an upcoming job change, I expect to spend less time researching, investing and blogging.
Thanks for the link and your input, I’m sure other readers will jump in on it and it’s always good to have another trader’s opinions here.