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Hi Amy. In this market scaling into positions slowly often works in our favor. Here is my latest article on PKG Stock. I sold yesterday and again I sold more today. I will roll-down the $67.50 puts but only once the stock breaks that low. At present I have no plans to sell the $65 put strike. I like to stay flexible and time is on my side with this trade. https://www.fullyinformed.com/members/never-missing-an-opportunity-the-drop-in-packaging-corp-of-america-stock-pkg-may-29-2015/
Thanks for the questions. I am way behind almost always on posting to the portfolio. I try my best but it is tough to keep them updated all the time. To see what is active in a trade you can look at the individual trade through the portfolio. It lists the capital in use at the top of each stock trade.
There is not a list for open positions except through the portfolio itself which shows the latest update I have done below each title. I am considering letting tech support handle keeping the trades up to date but I am already paying them a lot for what they are doing. I don’t think I can get them to keep the trades up to date in the portfolio and afford it without raising membership prices and I don’t want to do that. My site is designed more for learning. I keep the trades as updated as I can to show strategies that are working. They are not really for trading purposes in the portfolio but to show that the strategies work and income can be earned. I will see if I can figure out a faster way to keep trades up dated in the portfolio. Thanks.Hi Valerie, Did you email me the details? Please let me know. Thanks
PG remains a great company with a great trading pattern. There should be further opportunities shortly. I will be posting as I move more capital into PG trades.
I do not follow CAH. I like the KO, and the UNH I would definitely be lower unless your goal is to own shares or if you are using the Walk That Profit Home To Momma Strategy. On Intel, support is at $30 so you can easily roll-down your $31’s.
Hi Amy, I am holding both the $80 put strikes and $77.50’s as well. I have more of the $77.50 than the $80. I would own the stock however and that makes quite the difference. However at this time I still like PG and think a break of $77.50 is unlikely.
Nie entry point. I am selling slightly higher doing the $122 put strike for now.
I am doing more of the Apple Stock Biweekly Put Selling Strategy today but staying around the $122 level mentioned in the article you referenced. Thanks for posting that link. If Apple Gets down below $120 I will be increasing my numebr of contracts.
The peg on a stock is not advising you what is considered reasonably safe. Make sure you understand a stock peg. Here from the optionistics own wesbite: The Peg is the strike price where the sum of the amount to be paid by all call and put writers is the smallest. This is the red line on the Daily History and Peg By Expiration charts. The peg changes as the ratio of open interest for calls and puts changes. The ratio of call and put open interest is measured in dollars.
The Bias is the point where the put open interest and the call open interest converge. It represents the direction where the Peg is likely to move based on small changes in open interest. A Bias that is higher than the Peg indicates the Peg is likely to rise and a Bias below the Peg indicates the Peg is likely to fall.
The chart is based on the premise that the majority of options are written by market makers and purchased by the public, that there is some ability of the market makers to influence the market, that market makers are not perfectly hedged and are eventually forced to roll hedges forward, and that no other significant market effects are driving the underlying stock. The accuracy of the chart increases as expiration approaches due to numerous factors including increased option volume, reduction of time premium in the option prices, and the necessity for market makers to roll hedges forward.
The strike pegger is more accurate for most major indicies and stocks which have large option volume and relatively low float. The Volatility Skew, the Put/Call Ratio, and the Strike Peg should all be evaluated. Correct interpretation of the Volatility Skew is most valuable, since it effects the accuracy of the Put/Call Ratio and the Strike Peg.
Understanding support levels based on volumes is far stronger for selling options. The most telling part of their statement is what you will find on every broker that offers pegging technical data namely that pegging is based on the premise that “that no other significant market effects are driving the underlying stock”. Be careful what you follow for advice. Support levels are far better. For example last week the peg on Apple stock was at $128 and then changed within a day to $125. Yet I have been writing for a while now how $125 is a support level and that is the level I am selling puts against. Pegging changes continuously so it depends on the day and if doing real-time pegging, it changes throughout the day. Support levels on the other hand stay steady until they are broken. They do not change from day to day.
TeddiGood comments! You could also consider trading covered calls against your Facebook Stock. The Hide and Seek Covered Calls strategy works well for this and if you are eveer exercised out, then you have your profit anyway, but until then you are earning extra capital while waiting for the stock to move higher.
My personal outlook is Facebook Stock will reach $100.00 at which point I will sell the few shares I bought after the initial public offering and the stock collapsed. I was surprised at how much the stock fell considering that no other company has this many subscribers tied to a social network. I still believe Facebook should be able to continue to grow and increase revenues which will increase shareholder value, but at $100.00 I will be selling out. The hide and seek covered calls strategy can be reviewed here: https://www.fullyinformed.com/members/hide-and-seek-covered-calls-strategy-to-avoid-exercise-of-long-term-stock-positions/
There are loads of other strategies. I could write a book on how to handle your Facebook shares. I for one have used the Hide and Seek strategy because it is simple and straight forward.Interesting to watch for sure Denis. The stock doesn’t meet my criteria but the stock pattern is very nice indeed.
You are most welcome Amy.
Here is another trade from this morning at lower put strikes https://www.fullyinformed.com/members/weekly-wanderer-strategy-trade-number-2-trade-alerts-in-facebook-stock-fb-for-apr-16-2015/
Here is the trade from Apr 15
https://www.fullyinformed.com/members/staying-safe-with-the-weekly-wanderer-strategy-trade-alerts-in-facebook-stock-fb-for-apr-15-2015/I am adding more today.
Are you selling the put strike? It seems a bit close to, at the money for my methods.
I don’t follow SKX but I do like the roll up and think it is prudent. Nice trade Denis
Nice trade Amy. The outlook technically is still up so closing here is a good trade. I am waiting for a bit more upside but won’t sell naked calls at $165. I will be selling the $167.50 call strike.
Here you go: Wells Fargo Stock (WFC)
Original Trade Idea: My final trade idea to start things off on Friday is Wells Fargo Stock. The stock has not yet recovered from its recent weakness. Earnings are to be released April 14 and are expected to be lower by about 7 cents per share on revenue of 21.3 billion. I like the $52.50 put strike and am selling the May 15 expiry for .65 to 67 cents. I have offers in now at 67 cents, before the markets open on Friday.
Outcome: With the stock at $54.21 I sold 6 naked puts for .67 cents at the $52.50 put strike for May 15 expiry.
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To find the Wells Fargo trades go to the STOCKS drop down and select from the list, wells fargo stock or with any wells fargo article, select from the category link Wells Fargo Stock and it brings them up in order from recent to oldest. Take care.