[Teddi Knight]

I traded Sysco until the middle of last year when I switched to stocks with weekly options. They are relentless in their drive to become the biggest broadliner in the world. Currently, they are having difficulty getting approval to buy US Foods, the #2 broadliner & will have to sell some distribution centers to PFG to advance the purchase. PFG is small potatoes and nothing to worry about,competitively.If they had weeklies I would trade them.

[Teddi Knight]

Hi Donald,

I haven’t traded it for awhile, but I have been watching it. I don’t like its trend of lower highs since the first of the year.

[Teddi Knight]

Like that support too.

BMY STO Mar 20 57.5 CSP @.95

[Teddi Knight]

| i also think their fee for assignment is too high, at $24

No doubt about their fees. But they are about as good as I’ve found for a US$ denominated RRSP.

[Teddi Knight]

try going to the FINVIZ.COM website

[Teddi Knight]

I have some T that I have held since 2011 with very little gain. Call premiums are very low, so in jan I sold itm calls ($24 feb 20 call) with the intention of being exercised.

[Teddi Knight]

Good explanation. Thanks

[Teddi Knight]

If you look at the risk/reward you can see how a Long stock/short call (covered call) is nearly the same as a short put.

With a cash secured short put you have unlimited downside risk (the strike price, or your ‘cash security’ less the premium) and limited upside (the premium).

With a long stock only you also have unlimited downside risk (Price of the stock) and unlimited upside.

With long stock & cc, if the underlying goes up, your gain is limited to the premium — like a CSP. If the stock goes down, you lose the price difference less the premium — again like a CSP. Unlimited downside, limited upside.

Of course the premiums for a call and a put will be different, and the transaction costs will, too, but the basics of the stock/option situation are virtually the same thing.

[Teddi Knight]

Denis you could do in the money covered calls to create synthetic CSPs in your RRSP.

[Teddi Knight]

In 2011 I ended up owning 2000 shares of VLCCF at $21. It took me a year to screw up the courage to do something about it. I started selling bull put spreads and CC’s, determined to recapture my $$$. Only monthly options are available on this puppy.
The trick with the CC’s is to not sell all 20, but to sell 13 or 14 and hold the rest back in case you need to roll to save the trade. Between the puts,calls and divvy’s my cost basis is down to 13.27.
It can be done. It’s a lot of effort, but the satisfaction of doing something to improve the position is wonderful. Good luck…you can do it.

[Teddi Knight]

As I posted in another section of these boards, I was holding 10-23 and 5-21 puts on SDRL when the bottom fell out. I took assignment on 1000 shares and have 5 Apr 16 puts out. Have been selling OOM calls and currently have 5 Mar 13 calls out, but it is a long way up. With the latest “surge”, I have been thinking about selling a bull ladder for Jan 2014 for 10 contracts total with 2 at each of the 5 strikes from 25 down on the next pull back to 12 or <.

Obviously this would double my $ position in this stock. Can’t decide if the risk is worth it.

[Teddi Knight]

Thanks for the ideas.

[Teddi Knight]

STO 5 x Mar 6 45 puts @ 0.50. Trade went off at 10:49, stock was about 47.35

[Teddi Knight]

One of the things you can do is take the tax loss, sell puts for next January/February, 2016, and the premium should cover your loss, or at least give you a shot at recovery, plus a nice tax loss. You could also buy some calls a few months out on any sell off.

[Teddi Knight]

I also have questrade. I have the same problem with rolling.i also think their fee for assignment is too high, at $24

[Teddi Knight]

Yes. Bto the mar20 $33 call on 4 feb for $0.63. Stock at $32.69.
I hope to stc if the stock approaches $31. Then i hope to buy a vertical call at around the $32 strike.
I plan to buy back the vertical, then wait for the stock to reach the top of the bollinger band and repeat the process by selling calls.
This plan worked from oct 6 to the present, and I hope I can repeat it one more time

[Teddi Knight]

Sorry. I put it in the body of the post. I will get it right next time

[Teddi Knight]

Kevin:
thank you for response, I will certainly look into that. I knew there had to be a solution especially since they added the new features (strategies) to their order flows.

[Teddi Knight]

May still be pushing the lower BB down, we’ll see more tomorrow. (a little bump at the end of the day on the 1HR chart) 57 is good support, IMHO, so you should be good. What’s troubling is that the 10d SMA is crossing below the 20 and 30 EMAs.

[Teddi Knight]

Sold Feb13 98.5/95 Put for .30

[Teddi Knight]

I did something similar except used the moving average envelopes (aka the weekly wander strategy). The moving average was at 96 so I went one step down to 95 (hey same strike!). This is also below the low of Oct. Also only went 2 weeks out to limit exposure.

Entry:
2/9/15 STO Feb20 95/89 put spread for .22 (sold 3 contracts so netted .66 minus commission)

Take care!

[Teddi Knight]

marketwatch is the first place I go. If it looks like a big day up or down, I turn on CNBC. Sometimes I’ll also go to finance.yahoo.com for more.

[Teddi Knight]

Entered a SPXU trade on Friday as shown in the attached chart. Market not breaking down yet this morning. Entry was at $37.04, stop is now at breakeven.
Cheers,
Kevin

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[Teddi Knight]

Richard no capital constraints here. I already have TOS, & IB, & Ninja. It’s more of a pain to switch between multiple platforms when you trade multiple products. The only negative about TOS is when volatility comes to the mkt TOS locks up and crashes bc of the way they aggregate there data feeds. I lost quite a bit of money on trades due to that. I’ve never had an issue with Ninja or IB & yes I am aware they are horrible at customer service but great at commissions.

Thanks

[Teddi Knight]

Hi smor
I have the same account and I can roll options. Just select STG (Strategy) in the order dialog. They don’t call it “Roll”, it will depend on what you want to do, but probably a Diagonal is what you want. If you have issues just chat with them online, they are usually pretty helpful.
Cheers,
Kevin

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