This morning I BTC 2 AA May08 37.50 Covered Calls and STO 2 AA Jul08 40 Covered Calls for a net deposit of $151.01 in an IRA account.

This is the kind of roll out and up that I really like.  I originally was put these AA shares at 37.50.  My basis is now $29.25 for these shares.  Selling Covered Calls at a price above my purchase price is where I start to make money over and above my option premiums.  With any luck I will be able to roll AA out or, even better, these calls will expire worthless in July and I can sell calls again at 40 or higher.