I have extra buying power and also my OPEN options expired. I need to either sell more OPEN options or to sell OPEN and using the funds to get into a better trade. I did the following calculation: OPEN Aug. $72.5 strike: 9.7%; CRM Aug. $140: 7.56%; MCP, Aug. $55 (OTM) 12.9%, MCP Aug. $52.5 (ITM) 10.4%; SLW: Aug. $31, 8.3%.
It’s obvious that MCP gives the highest profit. Plus other factors, I sold OPEN and entered a covered call of MCP.
About admin
Richard Cheng, M.D., Ph.D., is an avid Wall Street investor with 20+ years of investing experience. He is specially adept at observing the world to find the patterns and then design strategies to win his battle. Most, if not all, happenings in the world, follow certain patterns. These patterns may be complex, multi-factorial, not so intuitive at the first glance, or even may appear chaotic. However, even chaos has its own patterns. If you pay attention and be patient, you'll find them and then you will gain an upper hand in your battle. Using this blog space, he documents his trades and his thoughts as they happen. He uses this blog as a a notebook to help him better refine his strategies. Hopefully this will help you as well. Good luck in your trading.
